According to Sasol Petroleum International, it will still have the majority 60 per cent interest, while Eni will acquire a 40 per cent interest and operatorship in the Exploration Right Permit 236 (ER236) in South Africa.
The new permit will grant the right to Eni to explore for hydrocarbons on a wide offshore unexplored area of 82,000 sq km on Durban and Zululand Basins and Kwazulu-Natal province.
As a result of ER236, greater upstream activity will benefit South Africa and the broader region by increasing both energy security and international investments.
David Constable, CEO of Sasol Petroleum International, said: “The establishment of our partnership with Eni with respect to our offshore South African interests complements Sasol’s strategy to develop sustainable energy solutions, which will serve to ensure all-important economic growth and development in southern Africa and the broader region. In addition, accelerated exploration activity, as represented by ER236, will have many positive benefits for South Africa and the broader region, in terms of energy security and increasing levels of international investment.”
Subject to Government approval, the farm-in agreement will form part of a wider cooperation between Sasol and Eni in southern Africa in order to maximise the opportunities in the gas value chain.
The firm already has a significant presence in East African waters, where it carries out its exploration activities in Mozambique and Kenya, providing many oil & gas jobs for local communities.
Eni mainly operates in oil and gas, electricity generation, petrochemicals, oilfield services and engineering industries. The company’s major business segments are Exploration and Production, Gas and Power, and Refining and Marketing.
Photo Source: Oil Review Africa