Rosneft closes deal to buy 30% stake in Egypt's Zohr gas field

Ahram Online , Monday 9 Oct 2017

The Russian company bought the stake from Italy's Eni, which still holds a 60% share, while BP owns 10%

Zohr gas field
Rosneft closed the deal to buy a 30% stake in Egypt's Zohr gas field from Eni. (Photo: Eni's official website)

Russia’s Rosneft has closed a deal to acquire a 30 percent stake in Egypt's Zohr gas field from Italy’s Eni for $1.125 billion, the company announced in a press release on Monday.

The new agreement means Eni now owns a 60 percent stake in Zohr, the largest gas field in the Mediterranean Sea, with BP owning the remaining 10 percent.

“The company becomes a participant of the project to develop the largest deepwater gas field offshore Egypt jointly with other world majors and strategic partners of Rosneft,” Rosneft said in Tuesday's statement.

Eni announced the agreement to sell the 30 percent stake to Rosneft last December.

“Having closed the deal to acquire a stake in the concession agreement for the development of Zohr gas field, Rosneft has entered the world class project,” Rosneft Chief Executive Officer Igor Sechin said.

Production from the Zohr gas field, which holds an estimated 30 trillion cubic feet of gas, is set to begin in December, Eni CEO Claudio Descalzi had said earlier this week, Reuters reported.

The field was discovered by Eni in 2015 and is the largest know gas field in the Mediterranean Sea.

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