Page 9 - AfrOil Week 11 2021

AfrOil INVESTMENT AfrOil

However, Woodside responded to this move by the future.
exercising its right of first refusal and offered to This was not the first time Woodside blocked
purchase the stake on the same terms as OVL. the sale of a minority interest in RSSD. It also
FAR accepted Woodside’s proposal last Novem- pre-empted a bid by Cairn Energy (UK) to sell
ber, and the two Australian firms formalised its minority stake in the venture to Lukoil last
the deal with the signing of a sales and purchase year.
agreement (SPA) on January 19. The Sangomar licence area includes three
The SPA covers a 13.67% stake in the San- separate fields – Rufisque, Sangomar Offshore
gomar Offshore field, as well as a 15% stake in and Sangomar Deep Offshore, which give the
the other two sections of RSSD’s licence area. RSSD joint venture its name. Oil was discovered
ONGC Videsh Vankorneft had pledged to pay at the block in 2014, and RSSD has estimated
$45mn for this asset and reimburse for FAR’s that it contains 645mn barrels of oil equivalent
share of working capital in the project, includ- (boe) in recoverable reserves, including 485mn
ing cash calls, between January 1, 2020 and the barrels of crude oil and 160mn boe of natural
date the transaction is concluded, along with the gas. Woodside hopes to begin production in
right to collect certain contingent payments in 2023. ™

PERFORMANCE
Damietta LNG gearing up to

load third cargo since restart

EGYPT THE Damietta LNG plant in Egypt is preparing on March 4, just 10 days after the first, which left
to export its third cargo since resuming oper- port on February 22.
ations last month, according to Italy’s Eni, a Prior to the departure of the first cargo, the
shareholder in the facility. plant had been idle since November 2012. It
In a statement dated March 10, Eni said resumed operations last month, in line with an
the Damietta gas liquefaction plant had begun agreement previously signed between Eni, the
transferring the LNG to a tanker last week. It did government of Egypt, Egyptian General Petro-
not reveal the size of the cargo, but it reported leum Corp. (EGPC), Egyptian Natural Gas
that it intended to sell these volumes directly to Holding Co. (EGAS) and Naturgy (Spain).
customers in the European market. According to Eni’s statement, the parties have
The shipment “consolidates Eni’s integrated now finalised that agreement, which was signed
development strategy by increasing the volumes last December. The document allowed them to
and flexibility of its portfolio, in synergy with its restart Damietta LNG and redistribute equity in
upstream assets,” the statement said. SEGAS, the joint venture that owns the plant, as
The company noted that Damietta LNG’s follows: 50% to Eni, 40% to EGAS and 10% to
second load of LNG since the restart had set sail EGPC.

Damietta LNG plant, shown during construction (Photo: Weitz)

Week 11 17•March•2021 www. NEWSBASE .com P9