ENERGY giant Chevron Corporation has sold its 25 per cent interest in a producing oil concession and related export pipeline interests in southern Chad to the country’s government, with the transaction valued at about $1.3 billion.
Chevron announced in June that its subsidiary, Chevron Global Energy had sold its stake in the non-operated assets, with the deal being sealed on 13 June.
“This sale demonstrates our focus on strategically managing our portfolio to maximise the value of our global upstream businesses,” Chevron vice chairman George Kirkland said.
Chevron Africa and Latin America exploration and production president Ali Moshiri said the assets had played a significant role for Chevron in Africa for the past 14 years.
“They have been a profitable part of our portfolio for many years,” he said.
“The combination of current market conditions and the size of the assets relative to our portfolio make this an ideal time for a divestiture.”
The transaction included the sale of the Chevron subsidiary’s interests in seven fields in Chad’s Doba basin, which in 2013 had an average net daily crude oil production of about 18,000 barrels.
The sale also includes the Chevron subsidiary’s 21% non-operated interest in a pipeline system that transports crude oil to the coast of Cameroon as well as associated marine facilities.