StockMarketWire.com - Savannah Petroleum said it had agreed to the acquisition of an additional 55% interest in Nigeria-focused Accugas, bringing its total holding to 75%.

The deal was part of the company's previously-announced Seven Energy transaction.

Savannah also said that it had signed a non-binding 'memorandum of understanding' with a vehicle managed by African Infrastructure Investment Managers for the sale of a 25% interest in each of Seven Uquo Gas and Accugas, for $70m.

An implementation agreement incorporating those changes and other tweaks would be signed by the end of January, with the wider transaction expected to complete during the first quarter of 2019.

'We are delighted to announce the amendments to our Seven Energy transaction this morning,' chief executive Andrew Knott said.

'In aggregate, they grant control of Accugas to Savannah, are demonstrably NPV and cashflow accretive, release significant cash to the Company and significantly increase the upside exposure of our South East Nigerian gas business to rising gas volumes and prices.'


At 8:02am: [LON:SAVP] Savannah Petroleum Plc share price was +0.7p at 24.9p



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