SDX Energy, a North Africa focused oil and gas company headquartered in the United Kingdom, said that negotiations to buy some of BP Egypt’s assets have been abandoned. Reuters had reported earlier that BP is seeking buyers for its stake in a 50 year old oil and gas business worth about $500 million in Egypt.
A statement released by SDX Energy said “discussions regarding its proposed acquisition of a significant package of assets in Egypt from BP have been terminated by mutual agreement”. The company failed to reveal reasons why the negotiations ended with no deal.
SDX shares were suspended form trading on London’s AIM Exchange when the company confirmed on September 20, 2018 that it was in talks with BP. The firm said the acquisition would constitute a reverse takeover. SDX, which started trading its shares again on October 18 , 2018 did not identify which assets the company was in talks to acquire from BP Egypt.
Paul Welch, SDX Chief Executive said “clearly its disappointing that this transaction has not materialised. It was an exciting opportunity, but we are screening potential deals all of the time and we know that there will be others that will serve to fast track our stated goal to be a North Africa focused (exploration and production firm) of scale.