Eni-BP deal not to ‘harm’ drilling works at Zohr field: sources

The drilling works at Egypt’s giant gas field Zohr would not be hurled by Italy’s Eni deal with BP to sell 10 percent of its stake in Shorouk concession offshore Egypt.

Official sources in Egyptian Ministry of Petroleum told Amwal Al Ghad Saturday that drilling works in Zohr field are carried out according to determined schedule that would not be affected with the selling deal ‘at all’.

The sources clarified that Zohr field is scheduled to start production by 2017.

BP is set to execute all commitments that Eni agreed on with the Egyptian side. Therefore, drilling works would continue at usual rates, the sources stated.

On Saturday morning, Britain’s BP announced that it agreed to acquire a 10 percent stake in Shorouk concession offshore Egypt from Eni for US$375 million (£300 million).

Zohr field -located in Mediterranean Sea- is estimated to hold 30 trillion cubic feet (850 billion cubic metres) of gas.

As part of the deal, the BP said it holds an option to buy an additional 5% interest in the concession before the end of 2017.

BP said that the deal was expected to be completed in second quarter of 2017. The company, however, added that the acquisition was subject to regulatory approvals from the Egyptian Government.