Shortly after our buy tip on oil explorer Tangiers Petroleum (TPET), the company announced two deals that should have sent its share price flying. Most important, it signed a farm-out agreement with Galp Energia, a Portuguese oil firm, for its Tarfaya permit in offshore Morocco. Galp will spend $41m (£26m) drilling an exploration well before mid-2014 as well as pay Tangiers back-costs of up to $7.5m. Tangiers will hold a 25 per cent interest in the venture once the initial work programme is fulfilled.
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Tangiers has also signed a A$35m (£23m) farm-out agreement for its gas prospects in offshore Australia.
