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Sasol, Eni partner on SA hydrocarbon exploration

10th June 2014

By: Leandi Kolver

Creamer Media Deputy Editor

  

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Energy and petrochemicals group Sasol’s oil and gas subsidiary Sasol Petroleum International has concluded a farm-out agreement with Italian multinational oil and gas company Eni for the exploration of hydrocarbon opportunities along the east coast of South Africa.

The exploration right (ER) permit 236, of which Sasol would transfer a 40% ownership to Eni, was granted to Sasol in November last year and comprised the right to explore for hydrocarbons in the Durban and Zululand basins offshore KwaZulu-Natal.

Sasol would retain the remaining 60% interest in the permit.

“The establishment of our partnership with Eni in respect of our offshore South African interests complements Sasol’s strategy to develop sustainable energy solutions, which will serve to ensure all-important economic growth and development in Southern Africa and the broader region,” Sasol CEO David Constable said.

He added that the accelerated exploration of ER236 would have many positive benefits for South Africa and the broader region, in terms of energy security and increasing levels of international investment.

Eni was among a number of international energy companies to have entered South Africa – the continent’s largest oil importer – in recent months.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

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