Angola’s Sonangol backs off from deal with Cobalt International group

3 August 2016

The US-based Cobalt International Energy group will sell its 40 percent stake in two Angolan oil blocs to “third parties” after the state-held Sonangol pulled out of the deal, the group has announced.

In a statement to the market released on Tuesday in Houston, the group indicated that its chief executive Tim Cutt met in late July with the head of Sociedade Nacional de Combustíveis de Angola (Sonangol), Isabel dos Santos, to discuss the sale of those two stakes.

At that meeting, the two sides agreed that Cobalt International Energy would seek to sell its 40 percent stake in blocs 20 and 21 to “third parties”.

In August 2015 the US group announced that it had sold to state-held Sonangol its stakes in those two blocs for US$1.75 billion. Indicating that it would only keep a stake in bloc 9, the group stated that “the sale and purchase agreement provides for a smooth transition to a new operator and underscores the parties’ commitment to attain the final investment decision” so that production can begin in late 2018. (Macauhub/AO)