Delonex Energy has announced that Warburg Pincus, a private equity firm focused on growth investing, will invest up to US$600mn in the company for oil and gas projects in Africa
Delonex Energy, an exploration and production company, is focused on leveraging technology, execution and market access in order to discover, develop and commercialise hydrocarbons efficiently and effectively in Central and East Africa, according to CEO Rahul Dhir.
The company’s key strategic areas include the East African Continental Rift System, which extends from the Red Sea through Ethiopia, Kenya, Uganda, Tanzania to Mozambique, and the Central African Rift System from Chad to South Sudan, as well as in the coastal margins of East Africa.
Delonex Energy is planning on accessing opportunities in these areas through farm-in and direct projects from host governments in the region.
Dhir said, “I am excited to be launching an African E&P company with backing from Warburg Pincus. There is significant, underexplored resource potential in Central and East Africa, and our team has the experience, technology and capital to unlock these hydrocarbon resources and create value for our host governments.”
Dhir stated that Delonex would avoid the deepwater exploration that has driven some of the excitement over the region’s potential to emerge as a leading supplier of oil and liquefied natural gas (LNG).
Somit Varma, managing director of Warburg Pincus, said, “We are pleased to be working with the Delonex management team. Along with its knowledge of Africa and a successful track record in similar basins around the world, we believe this team is well positioned for exploration success in Central and East Africa.”
