ExxonMobil to reduce stake in Liberia asset

19 Sep 14 – ExxonMobil [NYSE:XOM], is looking to sell a stake of at least 10%  in its Liberian upstream asset, Block 13, according to three people claiming knowledge of the situation.

The world’s largest publicly traded oil and gas company acquired its 83% shareholding in Block 13 in April 2013, with Canadian Overseas Petroleum Limited [XOP:TSX-V] retaining 17%. Block 13 contains an estimated 2.6bn barrels of recoverable oil, according to COPL. COPL has a license for 3D seismic shot on the block.

The divestment is part of a series of disposals planned by the company. In August there were news reports that it is looking to find buyers for its XTO Netherlands unit, and for a stake in the Wingate gas field in the North Sea. In June, there were rumours in the press that it had begun work on a sale of Esso Ireland.

“The fact ExxonMobil is looking to sell a stake so soon after acquiring the block doesn’t look good,” one of the people said.

ExxonMobil has a market capitalisation of USD 415bn.

ExxonMobil did not respond to a request for comment.

 

By Katie McQue

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