ExxonMobil in talks with Repsol and Ineos for sale of Gulf assets

21 May 2019 (Last Updated September 3rd, 2020 12:18)

ExxonMobil is reportedly in negotiations with Spain’s Repsol and Ineos Group to sell a package of oil fields located in the Gulf of Mexico.

ExxonMobil is reportedly in negotiations with Spain’s Repsol and Ineos Group to sell a package of oil fields located in the Gulf of Mexico.

The news about the talks was reported by Bloomberg, citing unnamed sources. One of the sources stated that the sale of the Gulf of Mexico assets could fetch ExxonMobil as much as $1.5bn.

If the talks with Repsol bear fruition and a deal is finalised, it would help the Spanish firm to strengthen its position in the region. For the UK petrochemical company Ineos, the deal could allow it to debut as an oil and gas producer in the Gulf.

Sources told Bloomberg that ExxonMobil could sign a sale agreement in as soon as a month.

In October 2018, Reuters reported that the US energy giant was exploring the sale of several assets in the Gulf of Mexico region. The report added that ExxonMobil was contemplating the sale of deepwater assets in the Gulf that produce about 50,000 barrels per day of oil.

In the Gulf, the firm owns a 50% stake in development of the Julia oil field, 47% in the Hadrian South natural gas field, 9% in Heidelberg field and 23% in the Lucius oil and gas field. The company is keen to tap offshore areas such as Guyana and Brazil and onshore shale development in the Permian basin.