Negotiations by SEPLAT Petroleum Development to acquire an asset in Nigeria which faced delays has finally restarted.
The company said it had reached an agreement to release funds from an account which had been set up with a consortium in a bid to make a potential acquisition.
It had been created to look for opportunities to buy assets from oil and gas companies operating in the region.
In the latest agreement, SEPLAT has said it will release $408million of the total $453million which is being held in the account.
A spokesman said: “There have been material delays with the underlying acquisition, prompting SEPLAT to reach agreement with the consortium for release of the escrow amount.
“Certain recent events have led to the restart of negotiations by the consortium to secure the asset, and SEPLAT continues to work with them.”
Earlier this year, SEPLAT had been in talks with Afren over a possible takeover offer.
However the talks ended in February when Afren said a suitable offer had not been put forward.
SEPLAT said at the time it reserved the right to make a bid for Afren within six months.
Following the release of the $408million from the account, SPELAT has put $29million of those funds into new a new account.
SEPLAT also has access to $368million of the $453million originally held in the account.
The company said if no acquisition is made the funds held in the account will be returned to SEPLAT.
If the company decides not to progress with the acquisition, it will need to pay $20million to the other consortium members but the remaining funds in the account would then be released back to SEPLAT.
They have also agreed to pay a portion of the costs incurred relating to the potential acquisition, which totals $11million.
It will be paid in two instalments, with the first $3.5million being paid immediately and the remaining balance being paid on a deferred basis.