Eni Agrees to Share Exploration, Production Rights for Oman Field

   By Cristina Roca 
 

ENI SpA (ENI.MI) said Monday that it has agreed to share exploration and production rights for a field in Oman with Oman Oil Company Exploration and Production (OOCEP) and the government of Oman.

The Italian energy company said that under the agreement, it will be the operator of the block with a 90% participating interest, while OOCEP, which is owned by the Omani state, holds the remaining 10%.

The agreement concerns Block 47, which covers an area of about 8,524 square kilometers and is located onshore in the A'Dakhiliyah Governorate, Eni said.

Exploration is expected to start this year.

Eni said it has also signed a head of agreement with BP PLC (BP.LN) and Oman's ministry of oil and gas. The agreement sets up the principles to acquire exploration and production rights to block 77 in onshore Oman, whereby Eni and BP would each hold 50%, with Eni acting as operator during the exploration phase, Eni said.

Eni expects the agreement for the block 77 to follow shortly, it said in a press release.

Write to Cristina Roca at [e-mail]; @_cristinaroca

(END) Dow Jones Newswires

January 14, 2019 04:07 ET (09:07 GMT)

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