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French oil and gas group Total has agreed to sell a 25 percent stake in the Exploration Block 11B/12B, offshore South Africa, to Qatar Petroleum, in a deal which Total said would strengthen its ties with the Qatari group, reports Reuters.
Following the sale, the new ownership structure for the block will see Total have 45 percent, Qatar Petroleum will have 25 percent, CNR International will have 20 percent while Main Street will have 10 percent.
The Block 11B/12B is located in the Outeniqua Basin, around 175 kilometers off the southern coast of South Africa, and covers an area of 19,000 square kilometers with water depths ranging from 200 to 1,800 meters.
“Total is delighted to broaden its long-standing relationship with Qatar Petroleum and combine efforts to explore this promising region offshore South Africa,” said Arnaud Breuillac, president of Total’s Exploration & Production division, in a statement.
In another development, Total has bought stakes in some offshore Guyana (South America) oil production blocks, boosting its presence in the potentially lucrative Guyana basin. The French oil giant said it was buying a 35 percent working interest in the Canje Block, in an agreement signed with an affiliate of Canadian company JHI Associates Inc. and Guyana-based company Mid-Atlantic Oil & Gas Inc.
These two companies will retain a shared 30 percent interest alongside operator ExxonMobil, which has a 35 percent stake.
Total has also bought a 25 percent working interest stake in the Kanuku Block, in an agreement with Repsol and Tullow Oil. Repsol and Tullow each have stakes of 37.5 percent in that block.
Total added it had an option to buy a 25 percent working interest in the Orinduik Block, in an agreement with Canadian company Eco Atlantic Oil & Gas Ltd, which will retain a 15 percent interest following exercise of the option, alongside Tullow Oil which has 60 percent.
