Antrim Energy Inc., an international oil and gas exploration company, will sell its Ireland subsidiary to AzEire, making a step towards the dissolution of the corporation, earlier approved by its shareholders.
The company said on Wednesday it reached a deal with AzEire to sell its Ireland subsidiary Antrim Ireland for for US $250,000 in cash, subject to certain post-closing adjustments.
Closing of the Transaction is expected to occur by November 25, 2016.
“The Corporation has entered into the Transaction in furtherance of its efforts towards the proposed voluntarily dissolution of the Corporation approved by the Corporation’s shareholders on August 30, 2016,” Canadian-based Antrim said.
The company in August decided to wind up the business following failed attempts to find a proper M&A opportunity that would help it develop its assets in the North Sea.
Antrim in August said that since the divestiture of its producing UK oil and gas assets in 2014, the corporation had been examining various strategic alternatives, including potential business combinations, to maximize Shareholder value. It had also been engaged in reviewing various options that could lead to generating value from the corporation’s remaining appraised, but undeveloped UK oil and gas assets and exploration licence offshore Ireland.
“Very early in this process the Corporation noted that the junior oil and gas sector was distressed, only to have that stress exacerbated by a significant decline in oil prices. While many speculated that this would lead to an increase in M&A activity, to date this has not occurred due to continued volatility in what has been an extended downward market,” Antrim then said.
Offshore Energy Today Staff