• 4 minutes Nord Stream 2 Halt Possible Over Navalny Poisoning
  • 8 minutes America Could Go Fully Electric Right Now
  • 11 minutes JP Morgan says investors should prepare for rising odds of Trump win
  • 23 hours Daniel Yergin Book is a Reality Check on Energy
  • 2 days Permian in for Prosperous and Bright Future
  • 1 day Famine, Economic Collapse of China on the Horizon?
  • 1 day Oil giants partner with environmental group to track Permian Basin's methane emissions
  • 12 mins US after 4 more years of Trump?
  • 2 days Gepthermal fracking: how to confuse a greenie
  • 2 days YPF to redeploy rigs in Vaca Muerta on export potential
  • 2 days Top HHS official takes leave of absence after Facebook rant about CDC conspiracies
  • 2 hours Something wicked this way comes
  • 2 hours Why NG falling n crude up?
  • 21 mins The Perfect Solution To Remove Conflict Problems In The South China East Asia Sea
  • 23 hours Open letter from Politico about US-russian relations
  • 3 days Surviving without coal is a challenge!!
Charles Kennedy

Charles Kennedy

Charles is a writer for Oilprice.com

More Info

Premium Content

Talisman Oil Stake Up for Grabs in Kurdistan

Having difficulty selling off other assets and suffering from depressed North American natural gas prices, Canada’s Talisman Energy is looking to divest some of its prize holdings in emerging energy darling, Kurdistan.

Up for grabs will be a stake in two exploration projects in Kurdistan—one in which it has a 40% interest, along with Canada’s WesternZagros (40%) and the Kurdistan Regional Government (KRG, 20%) and another in which it has a 60% interest, with the KRG holding 40%.

Talisman has a total of 119,000 acres of oil exploration property in Kurdistan, with those assets valued at between $750 million and $1.25 billion.

Related article: Have Calm Waters Returned for Shipping Stocks?

Talisman is seeking to cut costs by around 20% this year in the wake of poor quarterly financial results that are down some 50% over last year due largely to a natural-gas-heavy portfolio.

In Kurdistan, Talisman shouldering too large a portion of the burden of developing significant finds, particularly in the block it owns solely with the Kurdish government.

"We're in active discussions with several parties about reducing our interests there," Talisman CEO Hal Kvisle told the Wall Street Journal. "We probably have more financial exposure to that than we want."

"We're into what appears to be a fairly significant oil discovery in Kurdistan, [but] on the larger half of that structure we're paying 100% of the costs for a 60% interest," he said.

Related article: Good Returns Depend on Companies with the Right Oil and Gas Combination

Originally, Talisman was intended to divest other assets—not Kurdistan—to raise $3 billion. Those assets include a pipeline in Colombia, North Sea oil assets and natural gas stakes in British Columbia and Alberta—but so far, no takers.  

The question now is what else is Talisman willing to give up? As quoted by the Wall Street Journal, Kvisle says the board isn’t ruling anything out. “We are not actively seeking a buyer for the company, but if people were to express interest we would not reject it out of hand.”

By. Charles Kennedy of Oilprice.com


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News