(Alliance News) - Zenith Energy Ltd on Thursday said it remains focused on finalising its ongoing acquisitions despite the recent drop in oil prices and volatility in financial markets.
Brent oil was quoted at USD33.60 a barrel on Thursday, down from USD36.02 at the London equities close on Wednesday, and down 27% from USD46.00 late Friday.
On Wednesday, Saudi Arabia and the UAE vowed to pump millions more barrels of crude as they stepped up a price war with Russia following the breakdown of talks last week between the Organization for Petroleum Exporting Countries and other major producers.
OPEC also warned global oil demand will stall this year as the coronavirus outbreak is expected to hit economies in various regions.
Zenith Energy Chief Executive Andrea Cattaneo said: "We are currently in the process of completing a series of transformational acquisitions that, by virtue of their material existing production, or near-term highly prospective production potential in the case of Tilapia, will enable Zenith to rapidly enlarge and diversify its portfolio at a time of great opportunity for companies with a clear strategic focus.
"The recent steep decline in oil prices as a result of world events has particularly impacted financial markets, whilst also presenting new opportunities to acquire highly prospective oil and natural gas production assets at advantageous terms."
Among the acquisition currently being pursued by Zenith Energy include an 80% stake in Anglo African Oil & Gas SAU, operator of the Tilapia oilfield in the Republic of the Congo; a oil production asset in West Africa; working interest in an onshore oil production asset in Tunisia; and the Italian portfolio of Coro Energy PLC.
Shares in Zenith Energy were down 5.9% at 0.64 pence each in London on Thursday afternoon.
By Tapan Panchal; tapanpanchal@alliancenews.com
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Zenith Energy (ZEN)