Italian major Eni is in talks to expand its footprint in Oman and the United Arab Emirates as part of plans to build its asset base in the oil-rich Persian Gulf and offset its reliance on Africa, a source close to the matter said.
The international oil company has a limited presence in the Middle East, where some of the world’s biggest oil and gas reserves lie, producing more than half its output in Africa, Reuters reported.
“Eni is in talks with Oman for various opportunities,” the source told Reuters, adding recent geopolitical tensions in the area had not curbed its interest.
Last year Eni sealed its first deal in Oman, winning a majority stake in offshore acreage and selling on part to Qatar Petroleum.
This year it took a first step into Abu Dhabi, paying $875 million for stakes in two oil concessions and then buying part of the giant Ghasa gas field from state oil group Adnoc, the Abu Dhabi National Oil Company.
The source said Eni had submitted an expression of interest for a minority stake in Adnoc’s refinery business, confirming an earlier Reuters report.
“Eni is also interested in other downstream opportunities,” the source said, pointing to Adnoc’s ambitions in that area.
Last year Adnoc presented a 2030 strategy plan to open up its energy markets to foreign operators and attract the skills needed to develop E&P, refining and petrochemical industries.
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