Global commodities trading giant Vitol has reached an agreement with Italian energy company ENI to acquire interests in key oil and gas assets in Côte d’Ivoire and the Republic of Congo. The deal, valued at $1.65 billion as of January 1, 2024, will be finalized with standard cash adjustments upon closing.
Key Details of the Acquisition
Under the terms of the agreement, Vitol will acquire stakes in both producing and exploration-stage assets, including:
- Baleine Project (Côte d’Ivoire): ENI currently holds a 77.25% interest in the project, and Vitol will acquire a 30% participating interest.
- Congo LNG Project (Republic of Congo): ENI has a 65% participating interest, of which Vitol will take a 25% share.
Strengthening Regional Partnerships
This acquisition strengthens the longstanding partnership between ENI and Vitol in West Africa. The two companies already collaborate in Ghana’s Offshore Cape Three Points (OCTP) project, an integrated oil and gas development where all natural gas production is allocated to meet Ghana’s domestic energy needs. They are also partners in Ghana’s Block 4, which has seen two undeveloped discoveries over the last five years.
“This agreement further consolidates cooperation between the two companies in West Africa,” ENI stated, adding that the transaction aligns with its strategy of optimizing upstream activities through early monetization of exploration discoveries via reduced ownership stakes—a model known as the “dual exploration strategy.”
Vitol’s Growing Upstream Footprint
Though primarily known as a global commodities trader, Vitol has been expanding its upstream presence in West Africa over the past 15 years. The company has invested in infrastructure and downstream operations across the region and is now deepening its involvement in oil and gas production.
Next Steps
The agreement is subject to regulatory approvals and other conditions precedent. Both parties aim to finalize the sale and purchase agreements as soon as possible.
Source: Africa Oil+Gas Report
Woodside Declines Offshore Namibia Farm-In Opportunity
Woodside Energy has decided not to proceed with farming into Petroleum Exploration License 87 (PEL 87) in the Orange Basin, offshore Namibia.
The decision means that Pancontinental Orange Pty Ltd. will retain its position as the operator of PEL 87 with a 75% interest, alongside partners Custos Investments (15%) and Namibia’s state-owned oil company, NAMCOR (10%).
Background and Exploration Efforts
Woodside had initially agreed to fund a 6,593-square-kilometer 3D seismic survey over the license area. Following the survey and analysis of the collected data, Pancontinental identified several promising leads and prospects within the basin. These prospects are believed to be comparable in size and scale to major discoveries made in neighboring deepwater blocks.
Among the key exploration targets identified in PEL 87 are:
- Oryx Prospect – A high-potential target in turbidite sands within the Saturn complex.
- Hyrax Prospect – Located in the southern portion of the Saturn complex, this target features younger reservoir formations that may have been affected by deepwater current processes.
- Xerux Prospect – Situated in the central northern section of the Saturn complex, offering additional exploration opportunities.
Next Steps for PEL 87
With Woodside opting out, Pancontinental and its partners will now seek an alternative investor to fund the next phase of exploration drilling. The current first renewal exploration period for PEL 87 is set to expire on January 22, 2026.
Despite Woodside’s withdrawal, the Orange Basin remains one of the most promising frontier basins for hydrocarbon exploration, with recent discoveries attracting growing interest from international energy firms.
Source: Offshore Magazine
