Azule Energy, a bp and Eni company, reported late last month that it has agreed to sell its interest in two producing blocks in the Lower Congo Basin offshore Angola to local E&P company Etu Energias.
The latter exercised pre-emption rights after Azule had initially entered an agreement to transfer its 20% stake in Block 14 and 10% in Block 14K to a consortium of Etablissements Maurel & Prom and BW Energy.
Etu Energia’s transaction could reach $310 million, including deferred contingent payments of up to $115 million. The deal should complete later this year, subject to approvals by the Angolan authorities.
London-based Chariot and Shell Western Supply part-financed the acquisition—in Shell’s case, in return for future offtake barrels.
The fields on Block 14 have collectively produced more than 900 MMbbl of oil since startup in 1999, with current production of about 40,000 bbl/d.
Chariot sees upside via further development of the PKBB discovery and other nearby finds connected to existing production and processing infrastructure.
Block 14K produces about 1,000 bbl/d.
