Exxon to join Qatar to look at Africa gas deal

BLOOMBERG

Exxon Mobil Corp. and Qatar Petroleum have teamed up to look
at energy assets in Mozambique, home to some of the biggest natural-gas discoveries in a generation, according to four people with knowledge of
their plans.
The companies are considering buying stakes in gas fields owned by Anadarko Petroleum Corp. and Eni SpA, the people said, asking not to be identified because the matter is confidential. They have a strong relationship and often discuss potential investments, though no final agreement has been reached, the people said.
Mozambique’s discoveries in the Rovuma Basin off its northern coast have attracted oil companies from Europe, the U.S. and China as the southern African country plans one of the world’s largest liquefied natural gas projects. Investment from Exxon and state-owned Qatar Petroleum, which have partnered in joint ventures for at least 15 years, would bring much needed funds for development, not to mention a tax windfall to a nation grappling with a deepening debt crisis.
Exxon, Eni and Anadarko declined to comment. Qatar Petroleum didn’t respond to a call or e-mail. Shares of Anadarko gained 2.1 percent to $54.73 at 12:11 p.m. in New York, while Exxon rose 0.4 percent. Eni closed 1.9 percent lower.
Anadarko operates in Area 1 of the Rovuma Basin, while Eni is in Area 4. Both have plans to export the gas as LNG, though neither has reached a final investment decision.
Exxon has already established a presence in Mozambique after winning three offshore exploration licenses in October for blocks to the south of the Anadarko and Eni finds.