MV Upstream Tanzania Ltd reached in principle deal with Otto Energy Tanzania to buy 25% participating interest in Kilosa-Kilombero, onshore Tanzania, according to bourse filing.
* MV Upstream will pay Otto $2.3m as past costs contribution and will pay Otto as much as $2m;
* If there’s a discovery necessitating drilling an appraisal well, MV Upstream will pay additional amount of as much as $1m;
* Kilosa-Kilombero is an onshore block of 17,625 sq km for oil and gas exploration;
* MV Upstream is wholly-owned unit of Motor Oil Vegas Upstream, Motor Oil Hellas has 65% stake in Motor Oil Vegas;
* Otto Energy Tanzania is unit of Otto Energy Ltd. Source: Bloomberg