StockMarketWire.com - Oil and gas company Cairn Energy said it would pay a special dividend of at least $250m from the sale of its Sangomar assets offshore Sengal to Lukoil for up to $400m. Under the agreement, the company would sell its entire 40% stake in the Rufisque offshore, Sangomar offshore and Sangomar deep offshore contract area.
The capital return would come following completion of the deal, expected in the fourth quarter. Cairn Energy said the sale would also enhance its financial flexibility to sustain and grow a 'balanced and robust portfolio during the current challenging and uncertain oil market conditions'. As well as the $400m cash payments, the company would also be reimbursed for development capital expenditure incurred since 1 January.
At 8:03am: [LON:CNE] Cairn Energy PLC share price was +3.7p at 128.2p