Savannah walks away from $1.25-billion South Sudan deal

Savannah Energy has terminated its planned USD 1.25-billion acquisition of Petronas’s South Sudan operations, the UK company announced on Thursday.In December 2022, the company said it had entered into a sale and purchase agreement with the Malaysian player to acquire its entire oil and gas business in South Sudan.

This included interests in three joint operating companies that manage blocks 3/7, 1/2/4 and 5A .“Despite the substantial efforts of all parties since that time, it has not been possible to complete the proposed transaction on the envisioned terms,” Savannah said in a press release.

The company noted it is continuing discussions with Petronas over an alternate acquisition deal. Details on the potential transaction were not released, but Savannah said it would provide an update next month.

In a separate statement, Petronas said that subsidiary Petronas Carigali Nile would withdraw from South Sudan operations.

Source:https://theenergyyear.com