Kistos expands beyond North Sea with $148-million Oman upstream deal

Kistos Holdings plc has agreed to acquire working interests in two onshore oil and gas assets in Oman, marking the company’s entry into the Middle East and North Africa (MENA) region and adding immediately cash-generative production to its portfolio.

Under a binding agreement with Mitsui E&P Middle East B.V., Kistos will acquire a 5% working interest in Block 9 and a 20% working interest in Blocks 3 & 4 for a total consideration of $148 million, subject to customary closing adjustments. The effective date of the transaction is Jan. 1, 2025, with completion subject to regulatory approvals and partner consents.

The acquisition is expected to add approximately 25.6 MMboe of net 2P reserves to Kistos and contribute around 9,000–10,000 boed of net production in 2025, primarily liquids. The assets are valued at roughly $5.80 per barrel of 2P reserves and are expected to be immediately cash-generative.

Block 9, operated by Occidental Petroleum, includes two producing areas, while Blocks 3 & 4 are operated by CCED and comprise seven producing fields covering about 29,000 km² in eastern Oman. Both assets operate under established Omani Exploration and Production Sharing Agreements.

Kistos said the transaction enhances geographic diversification beyond the North Sea and aligns with its strategy of acquiring assets with strong near-term production and longer-term development and exploration upside. Following the acquisition, the company expects its reserves to increase to about 50 MMboe, with total production forecast to rise to approximately 20,000 boed in 2026.