Zenith Energy has announced the termination of its agreement to acquire the outstanding shares of OMV Yemen. The company cited unsatisfied conditions as the reason for the termination. In response, OMV has refunded Zenith’s deposit of $4.3 million along with accrued interest.
Previously, in January, Zenith, which currently holds a 49% interest in OMV Yemen, had agreed to purchase the remaining outstanding shares for $21.6 million.
Zenith Energy Netherlands, a subsidiary of Zenith, had entered into a share purchase agreement with OMV Exploration and Production to acquire OMV (Yemen Block S 2) Exploration, OMV Jardan Block 3 Upstream, and OMV Block 70 Upstream on behalf of OMV Yemen. OMV Yemen is a leading oil producer in the country, boasting a diverse portfolio that includes immediate production and growth opportunities.
The termination of the agreement with OMV Yemen has also led to the termination of another deal: the sale of 51% of Zenith Energy Netherlands’ share capital to Hingbo Industries Company. It is worth noting that Zenith Netherlands is currently inactive and holds no assets.