Business/economics

ExxonMobil Exits Chad and Cameroon

Supermajor sells Central African operations for $407 million.

Chad and Cameroon ETS.
Chad and Cameroon ETS.

ExxonMobil has closed the $407 million sale of its operations in Central Africa’s Chad and Cameroon to London-listed firm Savannah Energy. The supermajor has been exiting African operations with declining crude oil production to focus on its massive liquefied natural gas (LNG) project in Mozambique and on more lucrative operations in the Americas.

Savannah acquired Exxon’s 40% stake in the Doba oil project, which comprises seven producing oil fields with a combined output of 28,000 B/D. The fields were producing 33,700 B/D when negotiations were disclosed last year.

Savannah has operated in Nigeria and Niger. The British firm also will take over Exxon’s 40% indirect interest in the Chad-Cameroon export transportation system—a 1081-km pipeline and floating storage and offloading facility offshore in Cameroon.

In the days following the ExxonMobil deal, Savannah agreed to purchase producing oil fields in South Sudan from Malaysia’s state energy firm Petronas for up to $1.25 billion.