Interoil Acquires Interests in Five Producing Concessions in Southern Argentina
Oslo-listed international independent Interoil Exploration & Production ASA has closed an agreement with privately held Argentinian oil company Roch SA to acquire an 8.34% participating interest in 5 mature producing exploitation concessions in southern Argentina. Interoil will pay US$1 million as consideration to the seller through the issuance of new Interoil shares, with Roch agreeing to hold 50% of the consideration shares for a lock-in period of 3 months, and the remaining 50% for a further 3 months. The concessions contain 12 fields located in a highly prolific area of the Austral Basin with well-developed infrastructure. The total operated production of these concessions amounts to around 3,000 barrels of oil equivalent (boe) per day (25% is oil) and 2P reserves are estimated to exceed 6 MMboe, with significant exploration potential upside. Previously, in April 2019, Interoil had also entered into an agreement to acquire Oil Investment Inc. (OII), an investment vehicle that owns majority interests in 3 onshore concessions in Argentina, for a total consideration of US$13 million in cash and stock.