Mubasher: Qatar Petroleum (QP) on Sunday signed a sale and purchase agreement with Italy's Eni to acquire a 35% participating interest in Area 1, offshore Mexico, located in the shallow waters of the Campeche Bay.
Under the deal, the Italian oil and gas giant will remain the operator of the three fields, namely Amoca, Miztón, and Tecoalli, according to an official statement.
The agreement, which is subject to the authorisation by the Mexican authorities, was inked by Saad Sherida Al-Kaabi, Minister of State for Energy Affairs and President and CEO of QP, and CEO of Eni Claudio Descalzi.
“I am also proud that Area 1 development is on track to provide the first offshore production by a foreign company after the Energy Reform in Mexico,” Descalzi commented.
The value of the acquisition was not revealed.
Area 1 was awarded to Eni with a 100% participating interest in a competitive bid round in September 2015.
However, the production-sharing contract was signed in December 2015.
Production of the three fields is expected to reach 2.1 billion barrels of oil equivalent in place (90% oil).
“The development of Area 1 will be phased, initially with an early production phase with startup planned in mid-2019, through a Well Head Platform located on the Miztón field,” the statement added.
Early production plateau will be 8,000 barrels of oil per day (bopd).
Moreover, Area 1 oil production plateau will stand at 90,000 bopd and 65 million standard cubic feet per day (Mscfd) for a total of 102,000 barrels of oil equivalent from 2021.
