The transaction covers BP’s interests in the West Nile Delta gas fields, co-owned with Harbour Energy, and a 50% contractor interest in the Temsah concession. The Temsah field has gained strategic importance following the recent Denise West discovery, which holds an estimated 2 trillion cubic feet of gas. Eni, BP, and the Egyptian General Petroleum Corporation aim to reach a final investment decision shortly, with production potentially launching in under two years.
Energean Enters Exclusive Talks for $1 Billion BP Egypt Asset Buyout
Two sources familiar with the negotiations confirmed that Energean has moved into exclusive talks to acquire a portfolio of BP’s Egyptian oil and gas assets. The proposed deal, valued at approximately $1 billion, marks a significant shift for the British major as it streamlines its global project spending.
This divestment aligns with BP’s broader strategy to reduce debt and focus on high-yield projects. While the company has poured $35 billion into Egypt over six decades, its local gas production dropped to 518 million cubic feet per day last year. BP plans to retain its stake in the Zohr field through its Arcius Energy joint venture. For Energean, the acquisition serves as a hedge against regional instability, allowing the firm to diversify away from its flagship Israeli operations. Energean successfully outpaced competitors including Dragon Oil and the Carlyle Group to reach this exclusive stage.
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