{"id":4328,"date":"2016-02-04T13:43:59","date_gmt":"2016-02-04T13:43:59","guid":{"rendered":"http:\/\/www.oilnewskenya.com\/?p=4328"},"modified":"2017-01-26T09:22:15","modified_gmt":"2017-01-26T09:22:15","slug":"africa-oil-completes-kenyan-farm-out-deal-with-maersk-oil","status":"publish","type":"post","link":"https:\/\/www.oilnewskenya.com\/index.php\/africa-oil-completes-kenyan-farm-out-deal-with-maersk-oil\/","title":{"rendered":"Africa Oil Completes Kenyan Farm-out Deal With Maersk Oil"},"content":{"rendered":"

Africa Oil reports that it has completed the previously announced<\/a> (November 9, 2015) farmout with\u00a0Maersk oil and gas\u00a0related to Kenyan Blocks 10BB, 13T and 10BA having received $427 million.<\/p>\n

Africa Oil Corp. farm-out with\u00a0Maersk Oli and Gas received approval<\/a> from the Government of Kenya<\/p>\n

This amount represents US$344 million of reimbursed past costs incurred by Africa Oil prior to the agreed March 31, 2015 effective date of the farm-out and US$83 million representing Maersk’s share of costs incurred between the effective date and December 31, 2015, including a carry reimbursement of US$15MM of exploration expenditures.<\/p>\n

An additional US$75 million development carry may be available to Africa Oil upon confirmation of existing resources, which is expected to take place in the first quarter of 2016. Upon Final Investment Decision, Maersk will be obligated to carry Africa Oil for an additional amount of up to US$405 million depending on meeting certain thresholds of resource growth and timing of first oil.<\/p>\n

The resulting interests in each of Africa Oil’s Kenyan blocks are as follows:<\/p>\n\n\n\n\n\n\n\n\n\n
<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
Kenya Block 10BB<\/td>\nAfrica Oil – 25%<\/td>\nMaersk – 25%<\/td>\nTullow – 50%*<\/td>\n<\/tr>\n
Kenya Block 13T<\/td>\nAfrica Oil – 25%<\/td>\nMaersk – 25%<\/td>\nTullow – 50%*<\/td>\n<\/tr>\n
Kenya Block 10BA<\/td>\nAfrica Oil – 25%<\/td>\nMaersk – 25%<\/td>\nTullow – 50%*<\/td>\n<\/tr>\n
Kenya Block 12A<\/td>\nAfrica Oil – 20%<\/td>\nTullow – 65%*<\/td>\nMarathon – 15%<\/td>\n<\/tr>\n
Kenya Block 9<\/td>\nAfrica Oil – 50%*<\/td>\nMarathon – 50%<\/td>\n<\/td>\n<\/tr>\n
*-denotes Operator<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

The farmout of 50% of Africa Oil’s interest in the Rift Basin and South Omo Blocks remains subject to Ethiopian government approval, which is expected in the near term. At completion of the Ethiopian portion of the Maersk farmout the respective working interests in each of Africa Oil’s Ethiopian blocks will be as follows:<\/p>\n\n\n\n\n\n\n
<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
Ethiopia Rift Basin<\/td>\n<\/td>\nAfrica Oil – 25%*<\/td>\n<\/td>\nMaersk – 25%<\/td>\n<\/td>\nMarathon – 50%<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
Ethiopia South Omo<\/td>\n<\/td>\nAfrica Oil – 15%<\/td>\n<\/td>\nMaersk – 15%<\/td>\n<\/td>\nTullow – 50%*<\/td>\n<\/td>\nMarathon – 20%<\/td>\n<\/tr>\n
*-denotes Operator<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n

Keith Hill, Africa Oil’s CEO, commented, “We are very pleased to have completed the Kenyan portion of our farmout to Maersk.\u00a0We feel Maersk will be an excellent partner in terms of technical and financial strength and experience critical to moving the development project forward.\u00a0This transaction puts Africa Oil in the enviable position of not requiring any additional equity financing prior to first oil and will allow us to weather the current difficult oil price environment should it continue into 2016.”<\/p>\n","protected":false},"excerpt":{"rendered":"

Africa Oil reports that it has completed the previously announced (November 9, 2015) farmout with\u00a0Maersk oil and gas\u00a0related to Kenyan Blocks 10BB, 13T and 10BA having received $427 million. Africa … Read More<\/a><\/p>\n","protected":false},"author":24,"featured_media":4050,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[11],"tags":[4055,20,70,4054,870,3183,1252,3784,1499],"class_list":["post-4328","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-top-news","tag-10ba","tag-13t","tag-africa-oil","tag-blocks-10bb","tag-farm-out","tag-final-investment-decision","tag-kenya","tag-maersk-oil","tag-marathon-oil","entry"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/11\/Africa-Oil-East-Africa-acreage.png?fit=399%2C498&ssl=1","jetpack_shortlink":"https:\/\/wp.me\/p5JWkQ-17O","jetpack-related-posts":[{"id":4234,"url":"https:\/\/www.oilnewskenya.com\/index.php\/africa-oil-receives-kenyan-government-approval-of-maersk-oil-farm-in\/","url_meta":{"origin":4328,"position":0},"title":"Africa Oil Receives Kenyan Government Approval of Maersk Oil Farm In","author":"","date":"January 11, 2016","format":false,"excerpt":"Africa Oil Corp.\u00a0has reported that the previously announced farm-out with\u00a0Maersk Oli and Gas has received approval from the Government of Kenya. This gives a green light for completion of the farm-out of Blocks 10BB, 13T and 10BA.At completion of the Maersk farmout, the new respective interests in each of Africa\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/11\/Africa-Oil-East-Africa-acreage.png?fit=399%2C498&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":4060,"url":"https:\/\/www.oilnewskenya.com\/index.php\/africa-oil-completes-farm-out-of-kenya-ethiopian-licenses-to-maersk-oil\/","url_meta":{"origin":4328,"position":1},"title":"Africa Oil Completes farm-out of Kenya, Ethiopia Licenses with Maersk Oil","author":"","date":"November 9, 2015","format":false,"excerpt":"Africa Oil Corp.\u00a0has announced that it has entered into a definitive farmout agreement with\u00a0a Danish oil and gas company Maersk Oil & Gas A\/S, owned by the Maersk Group\u00a0(\"Maersk\")\u00a0whereby Maersk will acquire 50% of Africa Oil's interests in Blocks 10BB, 13T and 10BA in Kenya and the Rift Basin and\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/11\/maersk-oil-logo.png?fit=1024%2C569&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/11\/maersk-oil-logo.png?fit=1024%2C569&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/11\/maersk-oil-logo.png?fit=1024%2C569&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/11\/maersk-oil-logo.png?fit=1024%2C569&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":4389,"url":"https:\/\/www.oilnewskenya.com\/index.php\/africa-oil-completes-ethiopia-farm-out-deal-with-maersk-oil\/","url_meta":{"origin":4328,"position":2},"title":"Africa Oil Completes Ethiopia Farm Out Deal with Maersk Oil","author":"","date":"February 23, 2016","format":false,"excerpt":"Africa Oil Corp.\u00a0 has report that it has completed the previously\u00a0announced\u00a0farmout with Maersk Olie og Gas A\/S (Maersk Oil)\u00a0related to the South Omo and Rift Basin Blocks in Ethiopia. At completion of the Ethiopian farmout, Africa Oil received a payment of US$12.8 million from Maersk Oil. The resulting interests in\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/07\/ethiopia-oil.png?fit=741%2C388&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/07\/ethiopia-oil.png?fit=741%2C388&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/07\/ethiopia-oil.png?fit=741%2C388&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2014\/07\/ethiopia-oil.png?fit=741%2C388&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":8098,"url":"https:\/\/www.oilnewskenya.com\/index.php\/kenya-revenue-authority-wins-22-million-in-suit-against-africa-oil-corp\/","url_meta":{"origin":4328,"position":3},"title":"Kenya Revenue Authority Wins $22 Million in Tax Battle against Africa Oil Corp","author":"","date":"April 8, 2020","format":false,"excerpt":"Africa Oil Corp. has been ordered to pay $22 million in regards to its appeal process to Kenya Tax Appeals Tribunal related to Kenya Revenue Authority\u2019s corporate income tax and value added tax assessments, made in connection with farm out transactions completed during 2012 to 2017. The amount is however\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2013\/12\/africaoil.png?fit=280%2C273&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":6720,"url":"https:\/\/www.oilnewskenya.com\/index.php\/total-takes-maersk-assets-kenya-commits-lokichar-lamu-pipeline-route\/","url_meta":{"origin":4328,"position":4},"title":"Total Takes Over Maersk Assets in Kenya Commits to Lokichar to Lamu Pipeline Route","author":"","date":"January 23, 2018","format":false,"excerpt":"The Kenya government has given a greenlight to the acquisition of Maersk Oil and Gas assets in Kenya by Total following the acquisition of 100% of the equity of the Danish E&P company\u00a0Maersk Oil Exploration International (Mogas Kenya) by the French giant in August 2017. This gives Total E&P a\u2026","rel":"","context":"In "Top News"","block_context":{"text":"Top News","link":"https:\/\/www.oilnewskenya.com\/index.php\/category\/top-news\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/10\/Kenya-Uganda-pipeline-design-1.jpg?fit=900%2C610&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/10\/Kenya-Uganda-pipeline-design-1.jpg?fit=900%2C610&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/10\/Kenya-Uganda-pipeline-design-1.jpg?fit=900%2C610&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/www.oilnewskenya.com\/wp-content\/uploads\/2015\/10\/Kenya-Uganda-pipeline-design-1.jpg?fit=900%2C610&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":4405,"url":"https:\/\/www.oilnewskenya.com\/index.php\/africa-oil-receives-12-month-extension-in-rift-basin-area-ethiopia\/","url_meta":{"origin":4328,"position":5},"title":"Africa Oil Receives 12 month extension in Rift Basin Area Ethiopia","author":"","date":"February 28, 2016","format":false,"excerpt":"Africa Oil has received a twelve month extension to the initial exploration period in the Rift Basin Area and will now expire in February 2017. 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