Enquest to get back $23m after exiting Tunisia

Oil and gas group Enquest has decided to exit operations in Tunisia, meaning that it will receive $23m, though production for 2014 will be slightly lower than expected.

In May 2013, Enquest agreed to buy interests in the Didon producing field and the Zarat permit from PA Resources (PAR).

The acquisition completed in July 2014 and the consideration $23m was kept in escrow pending a response from Tunisian authorities.

“The backstop date for the transaction has now passed and the parties have elected not to extend it,” the company said on Monday.

“Accordingly the interest previously acquired by Enquest has been returned to PAR, the $23m has been returned to Enquest and Enquest has no future obligation to complete any acquisition pursuant to the May 2013 agreement with PAR.”

The group had said in a recent trading update that daily oil production average 28,267 barrels of oil equivalents in 2014. This finalised figure will now exclude the 372 barrels of daily production from Didon.

However, Tunisian output was not expected to have a material contribution to production in 2015, Enquest reassured.

The stock was up 1.5% at 34.5p by 08:46.