ONGC Videsh has agreed to acquire participating interest in a Senegal offshore oilfield for $45 million.
ONGC Videsh, the overseas arm of the state-run ONGC, has signed a definitive binding agreement with FAR Senegal RSSD, a unit of Australia’s FAR Ltd, for acquiring 13.66% participating interest in exploitation area of Sangomar field and 15% participating interest in the exploration area of Rufisque, Sangomar offshore and Sangomar Deep Offshore (RSSD) block, the Indian company said in a statement.
The total investment involved including the development cost until the first oil is expected to be around $600 million, the company said.
The Sangomar Field, currently under development, is located in the deep waters of Mauritania, Senegal, Gambia, Guinea-Bissau and Guinea-Conakry Basin (MSGBC Basin), Offshore Senegal, covering an area of 772 sq. kms. and is planned to go on production in 2023 under Phase-1 development, ONGC Videsh said.
Woodside is the operator of the block and is in the process of raising its stake to 68.33% in Sangomar Field and 75% in the exploration area. Petrosen, the national oil company of Senegal, is another partner in the block.
Source: Economic Times