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Shell, Energean unveil plans

for work offshore Egypt

EGYPT SHELL Egypt, a subsidiary of Royal Dutch/Shell Energean ventures into Egypt
(UK/Netherlands), has reached an agreement In related news, Energean, an independent oil
with the North African country’s petroleum and gas producer focused on the Mediterra-
ministry to explore for oil and natural gas in nean, has said it is planning to spend $235mn
concession area 4 in the deepwater section of on developing North Amriya and Nport Idku
the Red Sea.Shell will own the majority stake in concessions in offshore Egypt, the Greek com-
the concession with a 63% share, while UAE’s pany said in a statement
Mubadala has a 27% share and Egypt’s Tharwa This is the company’s first major investment
Petroleum Company holds 10%. in Egypt since acquiring the assets of Italy’s Edi-
The new agreement is in line with Shell’s stra- son in the country last year.
tegic decision to focus on natural gas extraction The North Amriya concession contains the
from offshore fields in Egypt having disposed of Yazzi and Python fields, both of which have been
most of its onshore oil and gas assets in 2020. discovered and appraised, while the North Idku
Shell has a long track record of successful off- concession contains four gas fields, including
shore deepwater hydrocarbon exploration and one that is ready for development.
production in Egypt. It won two concessions of The development of both concessions is
Ganoub El Wadi Petroleum Co. (Ganope) for oil anticipated to deliver first gas in the second
and gas exploration operations in the Red Sea in half of 2022, and could yield 49mn barrels of
an international tender announced in Decem- oil equivalent (boe), 87% of which is gas. Pro-
ber 2019. duction from the fields is expected to peak at
The company has also successfully explored approximately 90mn cubic feet (2.55mn cubic
and developed several deepwater fields in the metres) per day.
the Mediterranean, including the Phase 9 pro- TechnipFMC has been awarded the EPIC
ject at the West Delta concession. contract to deliver the project. ™

Woodside successfully pre-empts

FAR’s sale of Sangomar stake

SENEGAL AUSTRALIA’S Woodside Energy has moved
forward with its bid to pre-empt the sale of a
minority stake in RSSD, the joint venture that is
developing the Sangomar block offshore Sene-
gal, to an Indian firm.
FAR Ltd, the owner of that stake, had said last
year that it intended to sell its holdings in RSSD
to ONGC Videsh Vankorneft, a subsidiary of
India’s ONGC Videsh Ltd (OVL). However,
Woodside, the operator of the joint venture,
responded to FAR’s announcement by opting to The Sangomar block holds about 645mn barrels of oil equivalent (Image: FAR)
exercise its right of first refusal. FAR agreed last
November to Woodside’s offer to purchase the and Sangomar Deep Offshore.
stake on the same terms as OVL, and the two ONGC Videsh Vankorneft had agreed to
Australian firms formalised the deal with the pay $45mn for this asset, plus reimbursement
signing of a sales and purchase agreement (SPA) for FAR’s share of working capital in the project,
on January 19. including cash calls, between January 1, 2020
The SPA covers a 13.67% stake in the Sango- and the date the transaction is concluded; and
mar Offshore field and a 15% stake in the other the right to collect certain contingent payments
two sections of RSSD’s licence area, Rufisque in the future.

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