DEA has expanded its international footprint into the Americas by acquiring Sierra Oil & Gas from Riverstone Energy.
The Sierra portfolio includes the prized Zama discovery (Sierra Oil & Gas 40%, Talos Energy 35%, Premier Oil 25%) and an extensive exploration acreage position offshore Mexico.
The value of the deal is reported at ~USD500 million which provides a positive read-through for Zama of over USD300 million net to Premier.
The acquisition further bolsters the Wintershall DEA portfolio ahead of its planned IPO in 2019-2020 and adds prospective acreage in what is otherwise a production (but stable) weighted profile.
