Global investment firm Carlyle has agreed to acquire a portfolio of gas-weighted exploration and production (E&P) assets in the Mediterranean, which includes interests in Egypt’s gas production hub Abu Qir, from the UK-based Mediterranean-focused independent E&P company Energean.

The transaction, which is subject to customary regulatory approvals, will deliver to Carlyle a diversified portfolio of highly strategic gas-weighted assets with expected production equivalent to 47,000 barrels of oil per day and operations across Italy, Egypt, and Croatia, Carlyle said in a press statement.

As part of the transaction, Tony Hayward, (ex-CEO of BP, current Executive Chairman of SierraCol) will become Chairman of the company, focused on scaling its operations in the region.

Equity for the transaction will come from the Carlyle International Energy Partners (CIEP) platform, a private equity fund that invests in energy opportunities in Europe, Africa, Latin America and Asia.

Bob Maguire, Co-Head of Carlyle International Energy Partners, said: “We are delighted to acquire this portfolio of high-quality assets in Italy, Egypt and Croatia, countries that are actively encouraging new gas development, which we believe will play a central role in the energy transition. We look forward to supporting the transformation of these assets into a scalable E&P platform in the Mediterranean through the execution of near-term developments, unlocking organic growth opportunities, M&A, and accelerating the delivery of existing decarbonisation plans.”

A statement by Energean said Carlyle’s offer for Energean’s Egypt, Italy and Croatian portfolio has a total enterprise value of up to $945 million, of which $820 million is firm. It said the completion of the transaction is expected by year-end 2024, subject to customary regulatory and antitrust approvals.

(Editing by Anoop Menon) (anoop.menon@lseg.com)

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