Eni Adds to Stake in North Sea Gas Deal

Eni SpA has agreed to pay EUR590 million to GDF Suez for its indirect 10.4 percent stake in the Elgin, Franklin and West Franklin gas fields in the UK North Sea.

The fields reportedly have peak production capability of 175,000 barrels a day of condensate and 15.5 million cubic meters of gas per day.

GDF Suez held its stake in Elgin-Franklin through a 22.5% shareholding in EF Oil & Gas (EFOG), a joint-venture with Total. Reports of the pending deal first surfaced approximately two weeks ago.

Eni held a 21.87% stake in the Elgin-Franklin fields, prior to the purchase.

Total acts as operator of the licences and is partnered by Eni, BG with a 14.11% stake, Ruhrgas (5.2%), ExxonMobil (4.38%), Chevron (3.9%) and Dyas and Oranje-Nassau Energie each with a 2.19% holdings.

Earlier this year Total announced that it had made a “meaningful” new gas and condensate discovery at the Edradour exploration well in the West of Shetland, close to the major development of its Laggan and Tormore fields.