Italy’s ENI negotiates sale of assets in Mozambique

29 March 2016

Italian oil group ENI is negotiating the sale of a share of the assets it owns in Mozambique to US group ExxonMobil, the Wall Street Journal reported recently.

The chairman of the Italian group, Claudio Descalzi, recently gave a presentation during which he confirmed the negotiations and said that the sale of half of the assets held in Mozambique to Exxon Moçambique may take place this year.

The main asset held by ENI in Mozambique is a 50 percent stake in the Area 4 block of the Rovuma basin, halved after the sale of an indirect 20 percent stake to the China National Petroleum Corporation.

About a month ago the Mozambican Cabinet approved a plan to develop a floating platform for the Coral Sul field,which will be explored by ENI in the north of the country.

The announcement by the government paves the way for a final investment decision by ENI, which should be made by the end of this year.

The approval of ENI’s project comes 14 months after the delivery of the project in December 2014, which proposes the installation of a floating platform on the northern Mozambican coast to process natural gas.

The ENI group is the Area 4 block operator with 50 percent and its partners are the China National Petroleum Corporation, with 20 percent, South Korean group Kogas, Portugal’s Galp Energia and the Mozambican state’s ENH, with 10 percent each. (macauhub/CN/MZ/PT)