PXP ENERGY Corp. has fully acquired Pitkin Petroleum Ltd. the Pangilinan-led oil and natural gas firm announced on Monday.
The company said in a disclosure to the stock exchange that it has completed the acquisition of the remaining 46.57% interest in Pitkin Petroleum. It previously held 53.43% stake in Pitkin Petroleum.
PXP Energy said the acquisition was done through a share repurchase arrangement with the minority shareholders for $3.5 million. Pitkin Petroleum will now become a wholly-owned subsidiary of PXP.
It said the acquisition is “part of its continued efforts on streamlining the corporate structure of subsidiaries involved in overseas Oil & Gas exploration projects.”
Pitkin Petroleum is an upstream oil and gas firm in Peru. It has 25% interest in Block Z-38 in Tumbes basin in Peru.
PXP Energy is primarily engaged in the business of exploration and production of crude oil and natural gas, through petroleum service contracts.
The company also holds a 72.18% interest in Forum Energy Ltd., the operator of Service Contract (SC) 72 or the Recto bank, which covers the Sampaguita gas discovery that is estimated to contain 2.6 trillion cubic feet of contingent gas resources.
PXP Energy also holds a 50% interest in SC 75, which is located in northwest Palawan.
On Monday, PXP Energy shares closed 1.59% lower to end at P6.18 per share. — AEOJ