Kistos, an independent energy company focused on unlocking value within its existing portfolio and through value-accretive M&A, announces that it has now received confirmation of the grant of Royal Decree from the Sultanate of Oman in connection with the acquisition of Blocks 3 & 4 onshore Oman, from Mitsui E&P Middle East B.V. ('Mitsui'). The effect of the grant of the Royal Decree is that legal ownership of Blocks 3 & 4 has now passed to Kistos. Formal completion of the sale and purchase agreement with Mitsui will follow shortly (which finalises completion adjustments and certain accounting formalities for the interim period since execution of the original agreement), legal title having now passed.
The completion of the acquisition of Block 9 continues to progress, working on a different timeline due to its EPSA framework.
As announced, Kistos is acquiring Blocks 3, 4 and 9 for a consideration of $148 million, with an effective date of 1 January 2025. The acquisition adds 25.6 mmboe of 2P reserves and increases 2025 production by about 9,000-10,000 boepd, comprising mostly liquids. It is anticipated to be immediately cash-generative and the transaction represents an acquisition value of approximately $5.80 per boe.
Andrew Austin, Executive Chairman of Kistos, commented:
'Royal Decree on Blocks 3 & 4 marks Kistos' official entry into the MENA region, with the overall transaction with Mitsui in Oman doubling the Company's current production and 2P reserves, providing geographical diversification to our portfolio and a platform for further growth.'
Source: Kistos
