India's Essel Group Forays Into Africa Oil, Gas Space

India’s diversified conglomerate Essel Group has entered the African oil and gas space.

Dubai based Essel Group Middle East, a subsidiary of Essel Group India has inked a deal to acquire 60 percent participating interest in Canada based Simba Energy’s existing production sharing contracts (PSC’s) in Kenya, Chad and Guinea.

“Simba has successfully obtained production sharing contracts in three countries in Africa and is now ready to proceed to the next level in the development of its portfolio of exploration assets. This includes completion of a seismic program in Kenya leading up to the drilling of our first exploration well on Block 2A, and advancing our exploration programs in Chad and Guinea. We are delighted to enter into this agreement with the Essel Group which will provide Simba with strong financial, technical, and marketing support to advance development of our properties” said Robert Dinning, President and CEO of Samba Energy.

Simba will be carried on all future exploration costs. Financial details about the deal was not provided either by Essel Group or Simba Energy.

The farm in marks Essel Group’s maiden entry into the hydrocarbon sector.