Equinor has exercised its preferential rights to amass an extra 22.45% curiosity within the Caesar Tonga oil subject from Shell Offshore Inc for a complete consideration of USD 965 million in money. This will improve Equinor’s curiosity from 23.55% to 46.00%. Anadarko stays the operator with a 33.75% curiosity, and Chevron retains its 20.25% curiosity.
The Caesar Tonga subject is situated 180 miles (290 kilometres) south-southwest of New Orleans within the Green Canyon space and is likely one of the largest deepwater assets within the US Gulf of Mexico. Equinor’s present share of manufacturing from Caesar Tonga is 18,600 boepd (internet to Equinor).
“We are happy to extend our presence within the US, one in all our core areas. This is an asset we perceive nicely, and our bigger curiosity will ship important extra free money movement from day one”, says Christopher Golden, Equinor’s senior vice chairman for Development and Production International, North America Offshore.
Since 2005 Equinor has constructed up a large place within the Gulf of Mexico. In the primary quarter of 2019 Equinor’s fairness manufacturing was 110 00zero barrels per day, making it one of many largest producers within the Gulf of Mexico.
“Deepwater Gulf of Mexico kinds an vital a part of Equinor’s portfolio. This deal will strengthen our place on this prolific basin and construct on the current discovery within the Blacktip nicely. Later this yr we can be drilling the Equinor-operated Monument prospect, which has the potential to additional develop our place within the Gulf of Mexico,” provides Golden.
The transaction can have an efficient date of 1 January 2019. The closing of the transaction can be topic to customary consents and approvals.
In addition to its offshore portfolio within the US Gulf of Mexico, Equinor has intensive US onshore operations within the Eagle Ford (Texas), the Bakken (North Dakota) and the Appalachian basin (Ohio and Pennsylvania).
(Source and picture: Equinor)
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