- NEWSDAY.CO.TT - A la Une - 08/Sep 19:51

Predator completes acquisition of Challenger Trinidad

Predator Oil and Gas (Predator), a global energy company with portfolios in Morocco, TT and Ireland, has completed the acquisition of Challenger Energy (CEG) operations in TT. The acquisition includes a revenue-sharing agreement with NABI Construction, allowing Predator to benefit from increased production without bearing field operating costs. CEG’s operations in Trinidad include three onshore producing fields: Goudron, Inniss-Trinity and Icacos. Across these fields, there are a total of 250 wells, of which approximately 60 are in production at any given time. In a release on the Energy Chamber's blog, Predator said the acquisition of Challenger Trinidad's existing business structures, contractual arrangements, facilities and practical operations experience creates material substance and the in-country relationships necessary for its business objectives. The acquisition provides a logistical infrastructure to strengthen Predator's operations of its core assets in the Cory Moruga Exploration and Production Licence through appraisal and development, and the transport and sale of oil into a pipeline entry point, the release said. Paul Griffiths, CEO of Predator, said, "We are pleased to have successfully completed the acquisition of three new producing assets with an immediate generation of revenues for the company from the completion date. "The agreement executed with NABI relieves the company of the burden of funding minimum work obligations and field operating costs. "The arrangement also ensures that an aggressive heavy workover and infield drilling programme will be executed over the next 24 months to address overlooked opportunities with potential to enhance oil production. "It provides multiple newsflow opportunities. The revenue-sharing agreement with NABI may be regarded as a form of royalty that guarantees positive cash flow for the company without exposure to operational risks." According to the company, the consolidation of the Trinidad business structures within the overall company management structure minimises administrative costs, and by not entering into interest-bearing loan arrangements, exposure to potentially higher reward drilling opportunities is maintained. "The timing of the completion of the acquisition is particularly noteworthy given the recent reports from Trinidad of ExxonMobil entering the Trinidad offshore with a committed expenditure of $42.5 million and a reported speculative $16.4 to $21.7 billion spend on development if initial seismic and other technical studies are successful. This will ensure that Trinidad will be a centre of attention in the oil and gas sector over the next few years," Griffiths said. "We have focused on getting the Trinidad acquisition over the line while we have a short operational hiatus in Morocco. In September, we will review the data for the perforated MOU-3 'A' Sand interval and prepare to plan for the next phase of operations." On completion of the transaction, Eytan Uliel, CEO of Challenger Energy, said, "I am pleased to report that we have completed the sale of our business in TT. This allows full focus on our core assets in Uruguay, where we have a compelling opportunity to create near-term value for our shareholders." In addition, Predator's wholly owned subsidiary, T-Rex Resources (Trinidad) Ltd (T-Rex), has entered into final negotiations with the rig contractor for the T38 Rig reactivation and commissioning to drill Snowcap 3 in early 2026, and any other prospects identified by T-Rex after the completion of the Snowcap-3 appraisal and development well. T-Rex and the rig contractor are expected to execute the final contract upon submission of regulatory documentation to the Ministry of Energy next month, the release added. The post Predator completes acquisition of Challenger Trinidad appeared first on Trinidad and Tobago Newsday.