Heritage Oil exits Kurdistan as it sells interest to Genel Energy

EXPLORER Heritage Oil yesterday confirmed it would exit its Kurdistan asset, by selling its remaining 49 per cent interest in a gas field to Genel Energy to repay a $294m (£185m) loan.

FTSE 250-listed Heritage will sell its stake in the Miran gas field in a deal that will see it exiting Kurdistan completely and focusing on a new project in Nigeria.

In August, the oil and gas explorer agreed to sell a 26 per cent stake in the block to Tony Hayward’s Genel, with Genel lending Heritage $294m.

Should the deal be approved by Heritage shareholders, Genel will own 100 per cent of the Miran field.

“The divestment of our remaining 49 per cent interest in Miran will allow Heritage to monetise the asset at an attractive valuation and the total proceeds will have funded a significant part of the completed acquisition of OML 30 in Nigeria,” Heritage Oil chief executive Tony Buckingham said yesterday.

Heritage shares closed down 1.69 per cent at 197.6p.