The sale was closed on 9 December to the tune of US$407mn.
The announcement comes after Savannah Energy and ExxonMobil’s signing of a Share Purchase Agreement in 2021, which saw the British-listed company acquire a 40% interest in the Doba Oil Project in southern Chad as well as a 40% indirect interest in the Chad-Cameroon export transportation system, which comprises a 1,081km pipeline and the Kome Kribi 1 floating production storage and offloading facility (FPSO), offshore Cameroon.
ExxonMobil’s stake in Chad and Cameroon, previously estimated at US$360mn, contains fields producing 33,700 bopd, with the Doba oil project alone – a prospect that comprises seven producing oilfields – boasting a combined output of 28,000 bpd.
Approving of the move, NJ Ayuk, executive chairman of the African Energy Chamber, said, “Bringing independent energy companies to Africa will allow the continent to focus on bringing energy to its people by exploiting its natural resources while demonstrating the lucrative prospects in countries that have otherwise been disregarded until now. During African Energy Week this year, we saw discussions moving towards more support for new independents that can operate assets from super majors in a sustainable manner.”
Fully committed to bringing reliable and value-for-money projects in Africa, Savannah Energy has been unrivaled in its commitment to African energy, with the company’s vast portfolio of renewable energy project – as well as its upstream and midstream portfolio – contributing towards its ‘Projects that Matter’ initiative, which is active in Cameroon, Chad, Niger, and Nigeria.
Redenomination of the share capital – as enlarged by the transaction – is due to take place on 13 December.