QatarEnergy, formerly Qatar Petroleum, has signed an agreement with ExxonMobil Canada to farm into an Atlantic exploration licence.
Under the terms of the agreement, the state-owned company of Qatar will own a 40% participating interest in license EL 1165A, which is located offshore the province of Newfoundland and Labrador in Canada.
ExxonMobil Canada will hold the remaining in the exploration licence, where the Hampden exploration well activities are planned.
The transaction marks the entry of the state-owned company of Qatar into offshore Canada.
QatarEnergy President and CEO and Qatar’s Minister of State for Energy Affairs Saad Sherida Al-Kaabi said: “We are pleased to conclude this agreement which represents our first entry into Offshore Canada, in an established producing basin with the leading producer in the area.
“This builds on our strong partnership with ExxonMobil and is an important addition to our growing international exploration portfolio.”
The exploration block is located in water depths of approximately 1,100m. It is located nearly 450km east of the city of St. John’s in Newfoundland and Labrador.
The Canada- Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) has already given required approvals for the transaction.
Al-Kaabi added: “I would like to take this opportunity to thank the C-NLOPB for supporting the transaction, and to thank ExxonMobil, our strategic partner, for their cooperation and efforts to conclude this agreement.”
In July this year, Qatar Petroleum signed agreements with TotalEnergies to buy working interests in three offshore exploration blocks in South Africa.
The agreements were signed for a 25% participating interest in the South Outeniqua block, a 30% participating interest in the DWOB block, and a 29.17% participating interest in the OBD block.
In addition, the company, in a consortium with TotalEnergies and Staatsolie, secured two offshore blocks in Suriname in June this year, as part of an offshore bid round.
