Fatima Fertilizer to Fully Acquire Fatima Petroleum

Fatima Fertilizer Company Limited (FFCL) has resolved to acquire complete ownership of Fatima Petroleum Company Limited (FPCL), which is not listed publicly.

According to a notification issued to the Pakistan Stock Exchange (PSX) on Monday, the acquisition will occur at face value. This means FFCL will provide payment equivalent to the original nominal share value, eschewing market-driven or premium pricing.

“The Board of Directors at Fatima Fertilizer Company Limited has sanctioned the acquisition of all shares of Fatima Petroleum Company Limited at their face value. This acquisition is in line with the company’s strategic goals, including diversification,” stated FFCL.

As per the notification, Fatima Petroleum Company Limited has engaged in farm-out agreements with Orient Petroleum Inc (OPI). These agreements involve acquiring a 25% working interest in the Marwat block in Khyber Pakhtunkhwa, a 24% working interest in the Harnai South block in Balochistan, and a 10.50% working interest in the Ratana D&P Lease in Punjab.

It is important to note that these agreements are contingent upon securing regulatory clearances and governmental approvals, as well as the execution of relevant assignment deeds.