Total sells 25 per cent stake in South African exploration block to Qatar Petroleum
Integrated oil and gas company Total has signed an agreement to sell a 25 per cent interest in the Exploration Block 11B/12B, offshore South Africa, to Qatar Petroleum. The transaction remains subject to regulatory approval.
“This transaction enhances the partnership on Block 11B/12B in preparation for the high potential exploration well scheduled to be drilled on the block at the end of 2018. Total is delighted to broaden its long-standing relationship with Qatar Petroleum and combine efforts to explore this promising region offshore South Africa ,” commented Arnaud Breuillac, President, Exploration & Production at Total.
Commenting on the agreement, Mr. Saad Sherida Al-Kaabi, the President & CEO of Qatar Petroleum said “We are pleased to join our long-time partner Total in exploration activities in this frontier block offshore South Africa. This is an important milestone in our strategy to expand our international upstream footprint. We hope that the exploration efforts are successful, and we look forward to collaborating with Total, CNR, Main Street, and the South African authorities on this project.”
The Block 11B/12B is located in the Outeniqua Basin, around 175 kilometers off the southern coast of South Africa, and covers an area of 19,000 square kilometers with water depths ranging from 200 to 1,800 meters.
Upon receiving all regulatory approvals the new partnership structure will see Total takes the majority stake at 45 per cent, Qatar Petroleum 25 per cent, CNR international 20 per cent and Main Street at 10 per cent.
Total and Qatar Petroleum have built a strong partnerships through the years. In Qatar, Total also holds a 20% interest in the upstream part of Qatargas 1, as well as stakes in Qatargas 1 (10%), Dolphin Energy (24.5%) and Qatargas 2 train 5 (16.7%).
In 2016, Total entered the Al-Shaheen concession with a 30% interest. Total is also partner with Qatar Petroleum in the Laffan Refinery 1 (10%), Laffan Refinery 2 (10%) and the Qapco (20%) and Qatofin (48.6%) petrochemical plants.
