Seeking Alpha

Anadarko confirms Mozambique stake sale

As flagged, Anadarko (APC) has agreed to sell a 10% stake in an offshore Mozambique gas field to India's Oil & Natural Gas Corp. for $2.64B. Anadarko will remain the operator of the field, called Area 1, with a working interest of 26.5%.

Anadarko expects to invest the proceeds from the sale in its North American assets, such as the Wattenberg field, Eagleford Shale, and the Permian and Powder River basins, as well as in the Gulf of Mexico.

The company also hints that it will return some of the money to shareholders. (PR)

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Comments (1)
  • Mike Walker
    , contributor
    Comments (378) | Send Message
    Rather suprised that Anadarko took an all cash deal rather than sell interest for future carry. I guess Anadarko figured that as they were dealing with ONGC - it was safer to take all the cash up front rather than quibble endlessly on the future carry implementation.


    As a suggestion to Al Walker - why not use the cash to take down some of Tullow's interest in Ghana - as Tullow are interested in selling down WI in the Deepwater Tana block.


    While I'm happy the shares are up 3% pre-open (long shares / short Sept calls and short Sept puts), I really question why ? A sale in the range of $2.5BB is old news and there is little hope that sales proceeds will be returned to the shareholders as long as the Tronix ruling remains pending.
    26 Aug 2013, 08:02 AM Reply Like
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