Citadel Capital said its opportunity-specific fund Golden Crescent Investments has entered into a second amended agreement for the sale of National Petroleum Company (NPC) Egypt to Calgary-based exploration company Sea Dragon Energy.

Cairo-based Citadel Capital is a leading private equity firm in the Middle East and Africa with $9.5 billion in investments under control.

As per the second amended and restated share purchase agreement, Sea Dragon will have until August 8 to complete the acquisition, subject to a 10-day extension, while Golden Crescent will have until August 1 to solicit and entertain alternative proposals.

In the event that Golden Crescent receives a proposal it wishes to accept, it may terminate the second amended agreement without any (a) penalty or payment in favor of Sea Dragon of the previously contemplated termination fee, or (b) right of Sea Dragon to match any alternative proposal, the Citadel Capital said in a statement.

Golden Crescent had earlier signed a share purchase agreement to sell 100 per cent of its stake in NPC Egypt, a wholly-owned Portfolio Company, to Sea Dragon.

The value of the closing consideration payable by Sea Dragon to Golden Crescent under the share purchase agreement is $147.5 million, it added.

Under the new agreement, Golden Crescent may,  prior to August 1, at its option without terminating the second amended agreement and in consultation with Sea Dragon, seek a farm-in partner for the North El-Maghara concession (to a maximum participating interest of 50 per cent of the concession as well as a buyer for its 12.75 per cent participating interest in the South Ramadan concession.

Citadel Capital, which has management control of Golden Crescent, warned that volatile local and global economic conditions could affect the conclusion of the transaction.

This announcement does not constitute a promise to conclude the transaction, as Citadel Capital pointed out that Sea Dragon had to obtain approvals and other clearances from its lenders and regulatory authorities, among other parties.-TradeArabia News Service