Occidental Petroleum Corp. (Oxy) is in talks to sell a $3 billion stake in a gas field to Abu Dhabi-owned Mubadala Development Co., Petroleum Intelligence Weekly (PIW) reported, without mentioning its source for the information.
The two firms are discussing the sale of around 30% of the UAE’s $10 billion Shah natural gas project, Bloomberg reported quoting PIW, adding that two officials at Mubadala’s media department didn’t immediately respond to voice messages seeking comment. Melissa Schoeb, a spokeswoman for Occidental, declined to comment when contacted by e-mail.
US oil producer Oxy is working with state-run Abu Dhabi National Oil Co. (ADNOC) to develop the Shah field, whose production is to begin at the end of 2014.
Houston-based Oxy is trying to sell some Middle East assets individually after failing earlier this year to cut 40% of its operations in the region, people familiar with the situation said last month.
A transaction on the Shah project could be completed by the end of this year, with Oxy retaining part of its 40% stake and continuing to operate the field, PIW reported, adding that ADNOC would maintain its 60% stake in the project in a deal that would mark Mubadala’s first domestic investment in oil or gas production.
The two firms are discussing the sale of around 30% of the UAE’s $10 billion Shah natural gas project, Bloomberg reported quoting PIW, adding that two officials at Mubadala’s media department didn’t immediately respond to voice messages seeking comment. Melissa Schoeb, a spokeswoman for Occidental, declined to comment when contacted by e-mail.
US oil producer Oxy is working with state-run Abu Dhabi National Oil Co. (ADNOC) to develop the Shah field, whose production is to begin at the end of 2014.
Houston-based Oxy is trying to sell some Middle East assets individually after failing earlier this year to cut 40% of its operations in the region, people familiar with the situation said last month.
A transaction on the Shah project could be completed by the end of this year, with Oxy retaining part of its 40% stake and continuing to operate the field, PIW reported, adding that ADNOC would maintain its 60% stake in the project in a deal that would mark Mubadala’s first domestic investment in oil or gas production.
Source:
Mubasher
