Bowleven announces change of partner and operator at Etinde Licence in Cameroon
Bowleven, the Africa focused oil and gas, Exploration and Production Company with key interests in Cameroon, announced it has been informed that the operator of the Etinde JV, New Age, has signed a definitive conditional agreement with a subsidiary of Perenco, to transfer all of New Age's participating interests in the Etinde permit, and operatorship of the Etinde JV, to Perenco. (the 'Transaction').
The Transaction is subject to a number of approvals, including the customary regulatory approvals by the Cameroon government and the approval of the Etinde JV partners. Under the terms of the joint operating agreement, both LUKOIL and Bowleven have a 30 day right of pre-emption over New Age's interest.
Notwithstanding the Transaction, Bowleven will continue to be entitled to a final investment decision ('FID') payment of $25m from its Etinde JV partners which, following completion of the Transaction, would include Perenco.
Eli Chahin, Chief Executive Officer of Bowleven: "The prospect of Perenco becoming our partner and operator at the Etinde permit is very positive news. We believe that Perenco's proven Cameroon oil and gas developments and substantial experience provide an opportunity to accelerate our efforts to secure FID and the associated $25m payment to Bowleven. We look forward to engaging with Perenco and we will update shareholders in relation to Etinde developments in due course."