The acquisition of FAR Senegal RSSD’s whole participating interest in the Rufisque Offshore, Sangomar Offshore, and Sangomar Deep Offshore (RSSD) joint venture by Woodside Energy (Senegal) has been completed.
According to Woodside: “The purchase price was US$45 million plus a working capital adjustment of approx. US$167 million to reflect the acquisition effective date of 1 January 2020. The final completion payment to FAR, after adjustments and remedying of FAR’s defaults under the joint operating agreement, was approx. US$126 million. Additional payments of up to US$55 million are contingent on future commodity prices and timing of first oil.”
Woodside’s participating interest in the RSSD joint venture has increased to 82% for the Sangomar exploitation area and 90% for the remaining RSSD evaluation area because of the acquisition. Woodside intends to sell its RSSD joint venture participating interest to about a third of its original value in the second half of 2021, with about 40-50% expected.
The Acting CEO of the company, Meg O’Neill, commented: “The continued safe execution of the Sangomar project is a key priority for Woodside in 2021. A major milestone is expected tomorrow with the arrival of the Ocean BlackRhino drillship in preparation for commencement of development drilling next week.”
“The construction of the floating production storage and offloading facility, which is a converted oil tanker, is well underway and we are receiving delivery of subsea equipment in Senegal.”
“Sangomar is a world-class resource which will deliver near-term production and revenue for Woodside. We are targeting first oil in 2023.”
