Circle Oil is to buy up the remaining 30% stake in the Mahida offshore exploration licence in Tunisia.
The company will pay $3million, in two separate tranches, for the stake from current holder Tethys Oil and Mining, to take full interest in the licence.
The move comes after Circle agreed last week to farm into Exxoil’s Beni Khaled onshore licence in the country.
The licence, which contains the El Medouini and West El Medouini prospects – estimated at 125MMBO and 55MMBO respectively – has a commitment to drill one well before July 19 next year.
Circle said 3D seismic work had recently been carried out to determine a final choice of target for the well.
“We are pleased to announce this acquisition which increases our working interest to 100% in this prospective offshore permit and is another step in strengthening our portfolio,” said Circle chief executive Chris Green.
“The increased interest provides us with greater flexibility for progressing this permit, and maximising value in the event of a successful well.”
