Asset A&D

QP to Acquire 30% of Total's Interests in Mexican Offshore Exploration Blocks

By Deepak Sharma
May 07, 2020
a minute read
Offshore Oil Platform and Vessel

Qatar Petroleum (QP) has signed farm-in agreements with French energy major Total SA to acquire 30% of its interests in three offshore blocks located in shallow waters of the Gulf of Mexico. The financial terms of the deal have not been disclosed.

Areas 33, 34 and 15 cover a combined area of approximately 2,300 sq. km in the Cuencas del Sureste basin situated off the coast of Campeche and Tabasco states, and are located in close proximity to the Cantarell and KMZ oil fields. Total currently holds a 50% operated interest in Area 33, a 42.5% non-operated interest in Area 34, and a 60% operated interest in Area 15. Area 15 is considered the most prospective of the three blocks, and was originally awarded to a consortium of Total and Royal Dutch Shell Plc in June 2017. The block is estimated to contain prospective resources of up to 496 million barrels of oil (MMbbls).

“We are pleased to sign these agreements, which further expand Qatar Petroleum’s footprint in Mexico, and demonstrate our commitment to achieving our international growth strategy, with Latin America as a core area in our international portfolio,” said H.E. Saad Sherida Al-Kaabi, Qatar’s Minister of State for Energy Affairs and the President & CEO of QP. “We look forward to collaborating further with Total, our other partners in these blocks, and the government of Mexico”, he added.

The farm-in agreements remain subject to customary regulatory and asset partner approvals.

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