Eni’s MOU with Tullow Oil plc – Prospects for UK’s Gas Storage Sector
Italy’s Eni S.p.A. has signed a memorandum of understanding with UK’s Tullow Oil plc to acquire the latter’s 51.7% equity stakes in the offshore Hewett Unit fields and related infrastructure, including the onshore Bacton terminal. The deal will be completed by the end of 2008 through a cash consideration of $412 million. Through this acquisition, stakes of Eni S.p.A, which is currently a stakeholder in the Hewett Unit gas fields, will go up to 89% and the company will become the operator of the asset. After the sale of these assets, available funds of Tullow Oil plc will touch $1billion, which the company intends to invest in the North Sea and a major portion of it will be invested in the Jubilee oil and gas offshore fields in Ghana. With this acquisition, Eni S.p.A plans to transform itself into a leading player in UK’s gas market.
• GlobalData viewpoints cover the latest events or important trends in the global oil and gas industry and provide our in-depth analysis of issues and challenges. Viewpoints offer expert opinions and GlobalData’s views of various developments that have been taking place in the oil and gas industry across the world.
Reasons to Buy
• Develop business strategies with the help of specific insights from GlobalData on the key events happening in the oil and gas industry.
• Gain a strong understanding of the energy market and analyze the major trends in the global oil and gas industry today
• Identify opportunities and challenges with the help of our analysis of the latest news and deals in the oil and gas industry
• Increase future revenue and profitability with the help of information on latest operational, financial, and regulatory events