Talisman Energy to Sell Kurdistan Assets Amid Iraq Unrest

Zacks

As per Reuters, Talisman Energy Inc. (TLM), the Canadian energy explorer, is set to sell its Iraqi Kurdistan assets. The sale process of the said properties is expected to begin in the next several weeks and an adviser has been selected to oversee the marketing activities.

Talisman Energy may sell the assets partly or entirely, depending upon the response received on sale. The company has acreage in two oil blocks in the Kurdistan region, namely, the Kurdamir and Topkhana. Talisman Energy had just completed drilling of a well in the Topkhana acreage that holds promise and the results of which are awaiting.

Per the report, Talisman Energy stated that none of its properties have been affected by the ongoing conflict. Nevertheless, it has pulled out most of its staff from the area.

The news of the sale comes at a time when most of the companies in the region are withdrawing their employees or halting operations, which could pose problems for Talisman Energy in finding a buyer. Oil biggies like Chevron Corp. (CVX) and Exxon Mobil Corp. (XOM) have already evacuated most of the staff from the region, whereas several smaller firms have temporarily shut down operations.

Talisman Energy was also recently in news, following rumors of it being a takeover target by the Spanish oil producer Repsol S.A. (REPYY). (Read: Will Spain's Repsol Really Buy Canada's Talisman Energy?)

Calgary, Alberta-based Talisman Energy is a major independent oil and gas exploration and production (E&P) company, which conducts its operations in three principal geographic segments: North America, the North Sea and Southeast Asia.

At present, Talisman Energy carries a Zacks Rank #3 (Hold), implying that it is expected to perform in line with the broader U.S. market in the next one to three months.

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