MELBOURNE, Australia--Oil-and-gas explorer Karoon Gas Australia Ltd. (KAR.AU) has struck a deal to tie-up with an energy company controlled by Russian billionaire Mikhail Fridman to consider buying assets in selected areas off Brazil. <\/p>\n
In a statement Monday, the Australian company said it had entered agreements with German oil-and-gas company Dea to evaluate jointly bidding for assets. <\/p>\n
As part of the arrangement, Karoon said it had granted Dea an exclusive option to buy up to 50% in five exploration blocks in the Santos Basin, off the coast of the state of Sao Paulo. <\/p>\n
Having such a \"high quality, well-capitalized partner\" would significantly assist Karoon in its ambitions to buy oil production in Brazil, Karoon Managing Director Robert Hosking said. <\/p>\n
Commercial terms for any acquisitions would be agreed and finalized at the appropriate time, Karoon said. A sale of interests in its exploration acreage, including in the Echidna and Kangaroo discoveries, remains subject to Dea carrying out due diligence and the agreement of terms, it added. <\/p>\n
Mr. Fridman's L1 Energy, formed to invest heavily in energy assets around the world, bought Dea from German utility RWE AG (RWE.XE) in 2015. <\/p>\n
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\"DEA has excellent operational capabilities with significant production and earnings, along with ambitious growth strategy, making them a very good strategic fit for Karoon\" Mr. Hosking said. <\/p>\n
Karoon entered Brazil in 2008 with the acquisition of five exploration blocks. <\/p>\n
Write to Robb M. Stewart at robb.stewart@wsj.com<\/a> <\/p>\n (END) Dow Jones Newswires <\/p>\n July 30, 2017 20:34 ET (00:34 GMT) <\/p>\n <\/p>\n Read more here:<\/p>\n Karoon Partners with Dea to Consider Acquisitions Offshore Brazil ... - Fox Business<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" MELBOURNE, Australia--Oil-and-gas explorer Karoon Gas Australia Ltd. Continue reading