AFRICA-focused Bowleven has moved closer to completing a $250 million (£170m) stake sale in Cameroon following delays.
The Edinburgh-based oil and gas firm said it has received a decree signed by Cameroon's president approving the deal to sell a combined 50 per cent interest in the Etinde permit off the West African country.
"We now await the gazetting of the decree, the final condition to completion of the Etinde farm-out and receipt of transaction proceeds," said Bowleven, led by chief executive Kevin Hart.
Will Forbes, an analyst at Edison Investment Research, said Bowleven is edging closer to finalising the Etinde farm-out, which it announced in June.
The deal with Cameroon's New Age and Russia's LUKOIL was originally due to complete on 31 August.
In December the parties to the deal extended the completion deadline for a third time pending approval of the deal by Cameroon's president Biya.
In that month the deadline was extended to 28 February, from 31 December.
When the deal was announced in June Mr Hart said Bowleven would be well positioned to fund its share of ongoing work on Etinde and to progress exploration work in Cameroon, Kenya and Zambia following the farm-out.
The oil price has plunged by around 60 per cent since June. Brent crude traded at $49.43 per barrel yesterday, compared with $115/Bbl in June.
Shares in Bowleven closed up 12 per cent, 3p at 28.75p yesterday. That gave the firm a market capitalisation of around £93m.
The shares closed at 42p the day the farm-out deal was announced.
On completion of the deal, New Age will increase its holding in the Etinde permit to 37.5 per cent from 25 per cent.
LUKOIL will acquire 37.5 per cent. Bowleven's holding in Etinde will fall from 75 per cent to 25 per cent.
Bowleven shareholders approved the deal in July.
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