TAQA has made a strategic investment by purchasing 74mn common shares of WesternZagros worth US$ 45.7mn through private placement which gives TAQA 19.9per cent stake in the company.
WesternZagros holds production sharing deals in Iraqi Kurdistan.
WesternZagros's CEO, Simon Hatfield said, "This agreement represents a significant leap forward for us. TAQA is an excellent strategic investor for WesternZagros given their proven track record. We are excited about the opportunities we are pursuing in the next twelve months, including further appraisal of the Sarqala and Kurdamir discoveries, and exploration drilling at Mil Qasim."
Carl Sheldon, General Manager of TAQA, adds "This investment in WesternZagros reflects our focus on developing TAQA's footprint in the MENA (Middle East-North Africa) region. TAQA brings technical and operational expertise and a proven track record in developing challenging oil and gas projects, while WesternZagros has already built successful operations in the Kurdistan Region of Iraq. We believe that the fit between these complementary strengths will yield the potential for significant added value through future developments.”
WesternZagros will use the proceeds from the private placement for its 2011/2012 capital and operating program.
