Panoro Energy has entered into a definitive agreement with DNO ASA to acquire the entire share capital of DNO’s wholly owned subsidiary DNO CI LLC, which holds an indirect 9.09% interest in the gas producing Block CI-27 offshore Côte d’Ivoire.
The purchase is being made for a consideration of $80Million on a cash free / debt free basis, with effective date at January 1, 2025.
“No regulatory approvals are pending or required and there are no pre-emptive rights for the acquisition that is expected to complete between September and December 2026”, the company declared in a statement.
The 9.09% interest amounted to 3,287Barrels of Oil Equivalent Per Day (BOEPD) during FY 2025 and 3,334BOEPD during H1 2026.
Block CI-27 is operated by Foxtrot International LDC. The fields include Foxtrot, Mahi, Marlin, and Manta.
Success of the transaction will accelerate Panoro’s pathway to achieving group (net) production of >20,000BOEPD, the company said.
This means that the deal will “increase pro forma group production by ~23% and group 2P reserves by ~11%”, Panoro explained in the statement.
Net 2P (Proved plus Probable) reserves at effective date of acquisition is 9.4Million barrels of oil equivalent (MMboe) with net 2C (Best Estimate of Contingent) resources being 5MMboe (14.4 MMboe 2P+2C). Resource volumes in Block CI-27 are ~95% gas weighted.
Panoro Energy was incorporated and began operations in 2009 in Oslo, Norway. It holds a diverse portfolio of oil and gas production, development, and exploration assets in Equatorial Guinea (Offshore), Gabon (Offshore), South Africa (Offshore) and Tunisia (Onshore and Offshore).
The value of Block CI-27 is largely tied to the country’s robust, domestic gas market .
“Produced gas is sold into strong and growing local market for power generation with liquids sold to a local refinery.
“Gross production for FY 2025 was 195Milions tandard cubic feet per day ( MMscfd) of gas and 1,380BOPD liquids (~36,000BOEPD)
“Gas pricing is de-linked from oil price and sold under long term contracts with majority of gas used for power generation in Abidjan
“Low unit production cost at just $ 6/boe and accretive to Panoro on all standard metrics applied by industry”.
The transaction is to be financed through a combination of (i) equity, comprising the issuance of seven million new Panoro shares to DNO, and (ii) debt, comprising a fully placed $50Million senior unsecured bond issuance.
