• Natural Gas News

    Far to close Senegal deal in weeks


The company is selling its interest in the RSSD project to fellow Australian explorer Woodside.

by: Joseph Murphy

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Natural Gas & LNG News, Africa, Corporate, Mergers & Acquisitions, Exploration & Production, News By Country, Senegal

Far to close Senegal deal in weeks

Far Ltd said on May 31 it was on track to close the sale of its interest in the Rufisque, Sangomar and Sangomar Deep (RSSD) project off Senegal to fellow Australian explorer Woodside within weeks.

Far also said it had received formal notification from Senegal's petroleum ministry that it had approved the deal. "Far and Woodside are moving towards attending to the various outstanding completion-related matters with completion targeted for the coming weeks," the company said.

Far agreed to sell its 13.7% interest in RSSD and a 15% interest in the Sangomar exploitation area to Woodside in January. Lukoil later offered to buy Far if it axed the Woodside deal, but the Russian company later withdrew its bid. Private investment fund Remus Horizons likewise said in April it would not pursue a proposed takeover of Far. Far's shareholders approved the Woodside transaction in late April.

Woodside is already a partner in RSSD. It bought Cairn's stake in the project in December, after using its pre-emptive right to block a bid by India's ONGC.

A final investment decision on developing RSSD was taken in January 2020. First oil is expected in 2023 and output is expected to reach 100,000 b/d. The partners also plan to export the field's gas to shore.