Thailand’s national upstream company PTTEP has agreed to sell its minority interest in TotalEnergies’ Block 17/06 project offshore Angola to Somoil, an existing partner in the asset, despite the promise of equity oil from the Begonia oilfield development.
PTTEP has entered into a sale and purchase agreement to sell for an undisclosed sum its entire 2.5% participating interest in the project to Somoil Bloco 17/06, a wholly owned subsidiary of Somoil.
Completion of the sale is expected by mid-2023, subject to the conditions prescribed in the SPA.
Block 17/06 off the west coast of Angola is home to the under-development Begonia oilfield. Located in water depths of up to 750 metres, Begonia will be exploited as a subsea tie-back to French supermajor TotalEnergies’ Pazflor floating production, storage and offloading vessel on adjacent Block 17.
The Begonia project, which is expected to cost $850 million, will deliver about 30,000 barrels per day of crude.
The other partners in the Block 17/06 asset are Sonangol, SSI and Falcon Oil, according to PTTEP’s website.
PTTEP chief executive Montri Rawanchaikul informed that this divestment marks the withdrawal of all the company’s investment in Angola, in line with its corporate strategy.
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