Guernsey-based oil and gas exploration company White Nile is set to acquire PA Energy Africa, a private oil company in Nigeria, for $1.8 million (£919,000) and 3.1 million shares.

The move is in line with the company’s strategy to expand its geographical reach and widen its operations in Africa. It is involved in projects in Southern Sudan, Ethiopia, Kenya and now Nigeria.

White Nile chairman Phil Edmonds said that the firm was realising its aim of building a regional oil company in order to exploit an area rich in natural resources. He added: “We have development programmes in Kenya and Ethiopia as we seek to quantify the potential of our interests. Additionally, we remain focussed on expanding our reach and exploration portfolio and will continue to evaluate other opportunities in Africa in order to add value for our shareholders.”