Gazprom Neft could buy stake in Libya's Elephant field within year of force-majeure end
MOSCOW. Dec 6 (Interfax) - Gazprom Neft could buy a stake in the Elephant project in Libya over the course of the year after termination of force-majeure, Project Director for Cuba and Equatorial Guinea Dmitry Borisov said in an interview with Gazprom's corporate journal.
"After our partners notify us of the existing force-majeure's termination, we will have a year to exercise the right to utilize the option and to acquire from Eni 33% in the consortium that controls 50% of the Elephant project for $163 million," he said.
Gazprom Neft chief Alexander Dyukov has said that the Russian company has not yet received notification from Eni on the termination of force-majeure at the Elephant field in Libya.
In the middle of September, Gazprom and Eni signed a deal to join the Elephant project. The agreement effects the transfer to Gazprom of 50% of Eni's stake (33%) in the consortium working the Elephant deposit in Libya.
The two companies took part this February in signing ceremonies for documents on the sale of this asset, but in fact the agreement was not fully signed. For it to take force, it has to be approved by the Libyan government, which was not possible due to the outbreak of civil war. The power transfer from the Muammar Gaddafi regime to the National Transitional Council raised doubts that the new authorities would affirm readiness to work with Russia.
The Elephant field, which went commercially on-stream in 2004, lies 800 kilometers south of Tripoli. The project is being carried out by a consortium of Eni (66%) and Korean National Oil Corporation (33%).