DEVELOPMENT
Acquisition project for Anadarko’s assets in Africa
The acquisition project for Anadarko’s assets, for 8.8 billion dollars, offers Total the opportunity to strengthen its foothold in Africa, in liquefied natural gas and the deep offshore. A project that is well under way. Progress review.
Total signed a binding agreement in May with the American company Occidental, to acquire Anadarko’s assets in Africa, in the event of a successful completion of Occidental’s bid for Anadarko. Success was in store for Occidental, who clinched the acquisition of Anadarko on August 8 this year. Total finalized its transaction with Anadarko in Mozambique on September 30, 2019. The finalization of other acquisitions (Algeria, Ghana and South Africa) is still ongoing.
In Mozambique, with a 26.5% participation interest in Area 1, Total has become the operator of a giant gas field that contains more than 60 Tcf of resources. The launch of two liquefaction trains will produce 12.9 million tonnes of LNG per year, and start-up is expected in 2024. Area 1 could generate one billion dollars per year of cash-flow from operations from 2025 onwards, based on a 60 dollar barrel.
In Algeria, Total would obtain a 24.5% participation interest in blocks 404a and 208 in the Berkine basin, of which Total already owns 12.25%, and would become operator of highly cash-accretive oil & gas assets.
In Ghana, Total could acquire participation interest in deep offshore fields.
In South Africa, Total is set to obtain exploration licenses close to its recent Brulpadda discovery (see press release on total.com.)
Overall, these assets represent around three billion barrels of oil equivalent of resources and would enable Total to increase its production to 160,000 barrels of oil equivalent per day by 2025.
Exploration & Production: strengthening Total’s footholds in Africa, in LNG and the deep offshore
Total E&P assets:
- Mauritania
- Tunisia
- Libya
- Egypt
- Senegal
- Guinea
- Liberia
- Ivory Coast
- Nigeria
- Gabon
- Republic of Congo
- Uganda
- Kenya
- Angola
- Namibia
Anadarko's assets:
- Ghana: participation interest in deep offshore fields*
- Mozambique: Total is operator of a giant gas field since September 30, 2019
Total E&P assets and Anadarko's assets:
- Algeria: Total operator in the Berkine basin*
- South Africa: offshore exploration licenses near Brulpadda*
* Subject to approval by the competent authorities