UK-based Savannah Energy has completed the previously announced $407m acquisition of ExxonMobil’s upstream and midstream asset portfolio in Chad and Cameroon.
Following the closing of the deal, Savannah Energy has a 40% stake in the Doba oil project, as well as a 40% indirect stake in the Chad-Cameroon export transportation system.
The Doba project includes interests in seven producing fields namely Miandoum, Bolobo, Kome, Moundouli, Nya, Maikeri, and Timbre.
The combined proven and probable reserve base of the fields is 142.3 million barrels (MMbbls) as of 1 October 2022. The gross production of the Doba oil project is expected to reach 28,000 barrels of oil per day (bopd) in 2022.
The Chad-Cameroon export transportation system includes a 1,081km pipeline and the Kome Kribi 1 floating storage and offloading facility in Cameroon waters.
The pipeline has a nameplate capacity of 250,000bopd with an estimated pipeline throughput of 124,000bopd in 2022 from over 15 fields.
Savannah Energy CEO Andrew Knott said: “In Chad, our focus will immediately turn towards making the investments we believe the Doba Oil Project needs to significantly increase production volumes from current levels and the advancement of our up to US$500m/500 MW of renewable power projects.
“We expect our investments in these projects to provide significant increased tax revenues and electricity access for the people of Chad. In Cameroon, we hope to see the COTCo and TOTCo businesses grow further over the course of the coming years through additional third-party customer throughput volumes.”
The share purchase agreement (SPA) with ExxonMobil was signed by Savannah Energy in December 2021.
In addition, Savannah Energy agreed to acquire Petronas’ Overseas Ventures’ entire upstream and midstream asset portfolio in Chad and Cameroon for $266m.
