TransGlobe Energy to merge, extend and modernise its Eastern Desert concessionsCreated: Thursday, 17 December 2020 09:07TransGlobe Energy Corporation has reached an agreement with the Egyptian General Petroleum Corporation (EGPC) to merge the three existing Eastern Desert concessions (West Gharib, West Bakr and North West Gharib concessions) into a new modernised concession agreementThe agreement is subject to the usual ratification by the Egyptian Parliament and the satisfaction of the other closing conditions. Randy Neely, president and CEO, stated, “After a lengthy and constructive negotiation, I believe we have arrived at an incredible win-win amendment for both TransGlobe and EGPC. The efficiencies gained from the consolidation of our Eastern Desert concessions and the improved netbacks and extended term are expected to provide TransGlobe with the fiscal incentive and time to unlock meaningful additional reserves and production through modern technology and optimisation of infrastructure. “This agreement is a critical first step in achieving our stated goal of becoming a leading independent Middle East/North Africa region cashflow-focused energy producer. In the immediate future, we will begin to plan for increased activities that should in the near to medium term arrest and reverse recent production declines.”

Source: The North Africa Journal December 17, 2020 13:30 UTC