ConocoPhillips announced it has entered into an agreement to sell its 35 percent interest in three exploration blocks offshore Senegal, which include the SNE and FAN discoveries. The agreement, which is through subsidiaries of ConocoPhillips and Australia’s Woodside Petroleum Ltd.
(ASX: WPL), is for $350 million plus net customary adjustments of approximately $80 million. The transaction is subject to approval of the Government of Senegal and co-venturer preemption rights.
“This is an important milestone for ConocoPhillips as we progress our phased exit from deepwater exploration in West Africa,” said Matt Fox, executive vice president, Strategy, Exploration and Technology. “I want to thank our joint venture partners for their collaboration and contributions during the exploration and appraisal phase of this project.”
The three offshore exploration blocks, Rufisque Offshore, Sangomar Offshore and Sangomar Deep Offshore, had a net carrying value of approximately $250 million as of May 31, 2016. The transaction is anticipated to close by year-end 2016.
ConocoPhillips is the world’s largest independent E&P company based on production and proved reserves. Headquartered in Houston, Texas, ConocoPhillips had operations and activities in 21 countries, $20 billion in annualized revenue, $100 billion of total assets, and approximately 15,600 employees as of March 31, 2016. Production, excluding Libya, averaged 1,578 MBOED for the three months ended March 31, 2016, and proved reserves were 8.2 billion BOE as of Dec. 31, 2015. For more information, go to www.conocophillips.com.
Emma Duffin (media)
Sidney J. Bassett (investors)
Vladimir R. dela Cruz (investors)