Anadarko reaches joint venture pact for Lucius project
BY TESS TYNES
HOUSTON -- Anadarko Petroleum Corp. signed an agreement with an undisclosed party to enter a joint venture capital carry arrangement related to the oil and gas company's interest in the Lucius project in the Gulf of Mexico.
Under the agreement Anadarko will be carried for $556 million, which represents the company's estimated capital obligation through the beginning of production--expected in the second half of 2014. Anadarko will contribute a 7.2% working interest in the Lucius development and remain operator with a 27.8% working interest.
The Lucius project includes portions of Keathley Canyon area. The deal is expected to close in the third quarter.
Anadarko in April reported that its first-quarter profit surged amid a huge gain from a tax-related settlement in Algeria, while higher oil prices and rising production lifted its top line.
Shares closed Friday at $66.20 and were inactive premarket. Through Friday's close, the stock is down 13% this year.
Dow Jones Newswires