What do Keron Oil Development and ARGAN Oil Development have in common?
KERON OIL DEVELOPMENT LIMITED (KOEDL), an oil and gas company, has acquired Argan Oil Development Ltd.
(ARGAN) in a deal valued at over $US50 billion ($62.7 billion) for oil and natural gas.KOEDLLS KERSOX CORPORATION is a subsidiary of the Kero Energy Group of Australia.
ARGANS OIL AND METHANE DEVELOPERATION LIMITED is the joint venture of the Argan oil and methane company and Kero Oil Development Limited.”KREDL and ARGAN are among the world’s leading energy development companies,” said Kero CEO and Chairman, Dr Michael McGlashan.
“We are proud to partner with Kero and Argan to bring energy to the market and to ensure a more sustainable future for Australia.”
“The company has an ambitious vision for the future of Australia and we are excited to help achieve that vision through our own resources,” said Dr McGlashesan.
“Kero Energy is committed to helping to develop Australia’s energy future, as well as helping to create a stronger economy for all Australians.”
The deal is expected to close by the end of 2020.
The deal was announced today in Perth.
The deal comes as Australian gas prices continue to rise and the Australian Energy Market Operator (AEMO) warned on Tuesday that gas prices will reach $US1.20 per million cubic metres (mcm) by 2030.
In a statement, the AEMO said: “The Australian gas market is at its peak and the price of gas is currently $US3.15 per millioncm.
As a result of the price increase, prices will continue to increase and will remain at that price in the near future.”
Kero said in a statement: “We are extremely excited about this strategic partnership.
The company has been actively working to achieve energy independence and to deliver a world class energy resource to our customers and communities.”
The ARGANAO COALITION was established in 2012 and the first ARGANNON project is expected by 2020.
Kero’s parent company is also one of the largest producers of gas in the world.
The company is a leading producer of gas with more than 8,300 km of gas pipelines across Australia and a portfolio of more than 7,600 gas resources.KERONO oil and gases are currently the largest producer of natural gas in Australia.