Canada's Talisman Energy to exit Poland

Wed May 8, 2013 5:52am EDT
 
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May 8 (Reuters) - Canadian oil and gas producer Talisman Energy Inc said it agreed to sell its shale gas operations in Poland to joint venture partner San Leon Energy as it looks to boost production in its core areas of the Americas and Asia-Pacific.

Talisman, in the midst of a restructuring, said it was exiting the country with no outstanding commitments or liability.

Hal Kvisle, who took over as chief executive of Talisman last September following the abrupt departure of John Manzoni, is refocusing the company's sprawling global operations to concentrate on North and South America and Southeast Asia.

The Talisman announcement confirmed a Reuters report on Tuesday that London-listed San Leon Energy would buy Talisman's Polish holdings.

Talisman and San Leon signed a joint venture agreement in 2010 to explore three Baltic Basin concessions.

Talisman said in March it was considering selling its shale gas operations in Poland.

The company is also looking to sell holdings in the North Duvernay shale-gas region of Alberta.

Talisman is the second international player to withdraw from Poland, where an unsettled regulatory landscape and reduced estimates of potential reserves have spooked some foreign investors.

Exxon Mobil has already dropped its Polish shale gas plans after disappointing returns from its test wells.