Linklaters LLP advising Maurel & Prom on several oil agreements in Gabon
Maurel & Prom Gabon – an oil operator specialising in hydrocarbon exploration and production – signed several agreements, concerning the management of its oil operations in Gabon, with its partners, Gabon Oil Company (12.5%) and Tullow Oil (7.5%), including the Joint Operating Agreement of the “Ezanga” oil block (25,000 barrels per day).
This signing notably materialised the entrance of the Gabon Oil Company in the consortium of the “Ezanga” block. It also allowed Maurel & Prom Gabon, as operator of said block (and owner of 80%) to obtain, on the one hand, the repayment of the carried debt under the exploitation and production sharing contract known as the “Ezanga Permit”, and on the other hand, to obtain immediate reimbursement of the cost oil incurred by Gabon Oil Company, through a mechanism for the retrocession of barrels of crude oil valued on its share of the cost oil. The amount of the transaction is estimated at more than $90 million.
Maurel & Prom Gabon has also closed a deal with SOGARA, the Gabonese national refinery, ensuring, on the one hand, that the volumes of crude oil delivered to the refinery will be reimbursed and that, on the other hand, the payments for future deliveries of volumes of crude oil will be secured. This agreement was also co-signed by all other oil operators in Gabon. The value of this transaction has not been disclosed.
All these transactions were carried out internally by Othman el Malih, Legal Counsel – Africa Upstream Oil & Gas (Maurel & Prom – siège), who was advised by Linklaters LLP with a team composed of Bertrand Andriani (Managing Partner), Justin C. Faye (Senior Associate) and Salimatou Kaba (Associate).