IRVING, Texas – ExxonMobil has agreed to sell its interest in Mobil Producing Nigeria Unlimited to Seplat Energy, a subsidiary of Seplat Energy Offshore.
Seplat will take on the company’s entire shallow-water business, which produced 95,000 boe/d (92% liquids) for ExxonMobil in 2020.
The transaction includes Mobil Producing Nigeria Unlimited’s 40% stake in four oil mining licenses, covering more than 90 shallow-water and onshore platforms and 300 producing wells; the Qua Iboe export terminal; and a 51% interest in the Bonny River Terminal and Natural Gas Liquids recovery plants at EAP and Oso.
ExxonMobil will maintain a deepwater presence in Nigeria, with interests in the Erha, Usan and Bonga developments via Esso Exploration and Production Nigeria and Esso Exploration and Production Nigeria (Deepwater).
According to Seplat Energy Offshore, the purchase price is $1,283 million plus up to $300 million contingent consideration, subject to adjustments at closing relative to the effective date
The deal should increase the company’s production by 186% to 146,000 boed, also lifting its 2P liquids reserves to 650 MMbbl, and its 2P gas reserves to 1,712 bcf, with undeveloped gas potential of 2,910 bcf.
Liam Mallon, president, ExxonMobil Upstream Oil and Gas said: “This sale will allow us to prioritize competitively advantaged investments in our strategic assets, and it supports the Nigerian government’s efforts to grow its oil and gas operations.” The company will maintain investment in its deepwater Nigeria business.