|
contents | business | |||||||||
| Iberdrola announces alliance with Petroceltic Spain's Iberdrola has agreed to form a strategic gas upstream alliance with Irish oil and gas explorer Petroceltic International plc. As part of this alliance, Iberdrola has agreed to subscribe 215.8 million new shares in Petroceltic at 13.0 p/share (22.6% of the enlarged share capital), representing an equity investment of €35.2 million (US$55 million). The capital increase will comprise two stages, a first taking place today of 147.5 million shares, and a second of 68.3 million subject to approval by Petroceltics's General Shareholders Meeting on August 14 this year. Iberdrola will also have a 2 year option to acquire a 49% interest in any single upstream asset from Petroceltic's portfolio in exchange for a further consideration of €35.2 million (US$55 million). The agreements will allow Iberdrola to enter the upstream sector with an appropriate-sized investment. Petroceltic is a independent upstream oil and gas E&P company, with broad experience in the Mediterranean and North African area, and listed on the London Stock Exchange's AIM Market and the Irish Stock Exchange's IEX (Irish Enterprise Exchange) Market. The Company has a well diversified portfolio of assets, with potential gas reserves of 27.7 bcm, and potential oil reserves of 75 million barrels. Petroceltic has exploration assets in Algeria, Italy and Tunisia and a royalty interest in the Kinsale Head gas field in Ireland. Petroceltic is in a unique position in Algeria, operating a significant licence in partnership with Sonatrach, one of only three AIM listed companies to enjoy this position. write your comments about the article :: © 2008 Construction News :: home page |