Italian oil and gas company Eni has agreed to sell 10% of its stakes in Egypt’s Shourouk offshore concession to UAE’s Mubadala Petroleum, Egypt Oil & Gas reports.
Eni’s owns 60% stakes at Shorouk concession, which includes the giant Zohr natural gas fied, located in the Mediterranean Sea.
The $934 million transaction comes as a part of Eni’s dual exploration strategy, under which the company sells stakes in fields it operates as a way to raise cash to finance future development and to support dividends, according to Reuters.
“We are pleased to be working with Mubadala and welcome them into the partnership for the Shorouk concession. This represents a further signal about the strength and quality of this world class asset developed by Eni,” the company’s CEO, Claudio Descalzi, said.
“This is an important and attractive investment for Mubadala, adding a world-class asset to our portfolio with long-term cash flows. We are joining a strong partnership with Eni as operator, who has delivered the project in record time and with the full support of the Egyptian authorities,” stated Musabbeh Al Kaabi, Chief Executive Officer of Petroleum & Petrochemicals, Mubadala Investment Company, and Chairman of Mubadala Petroleum.