FCP goes to ENI

Italy’s ENI has emerged as the buyer of First Calgary Petroleum which holds assets in Algeria in a Can. $923 m deal.

First Calgary (FCP) said Eni has agreed to acquire all the common shares of the company and shareholders will receive Can. $3.60 per share, valuing FCP at Can. $923 m

The deal is a 52.5% premium on FCP’s closing share price on the Toronto Stock Exchange on 2 September.

First Calgary signalled last week that it was holding talks about a possible major transaction, “Relating to the sale of the company or a significant asset disposal.”

FCP has a production sharing agreement in place for the Algeria’s Ledjmet block 405b covering 273,000 acres and which includes the Ledjmet East field, now undergoing development, which is estimated to contain gross proven, probable and possible reserves of 4.130 Tcf of gas and 1.429 Bn boe.