Genel Energy buys OMV's stake in Kurdistan’s Bina Bawi field
LONDON -- Genel Energy has signed a definitive sale and purchase agreement with OMV to acquire its 36% operated stake in Bina Bawi field, in the Kurdistan region of Iraq. Completion of the acquisition is subject only to government approval, which is expected shortly.
The consideration comprises an upfront payment of $5 million. A contingent payment of $70 million is payable once gas production exceeds agreed threshold volumes from Miran and Bina Bawi fields. A further contingent payment of $75 million is payable two years after the date of the second payment.
In consideration of the Kurdistan Regional Government (KRG) agreeing to the transfer of OMV's stake in Bina Bawi field, on completion of the acquisition Genel will offset $25 million against monies owed by the KRG to Genel in respect of past expenses incurred on Miran field.
