PTTEP said the acquisition forms part of its plan to strengthen its presence and growth in the petroleum prolific Middle Eastern area.
The Sharjah Onshore Area A block, which covers an area of approximately 437km² in Sharjah, north of the UAE, was awarded to Eni by Sharjah National Oil Corporation (SNOC ) in early 2019.
PTT Exploration and Production Company CEO Montri Rawanchaikul said: “PTTEP continues to expand our investment in our strategic focus area in the Middle East, with this Sharjah Onshore Area A being the fifth project in [the] UAE since the company’s first entry into [the] UAE in 2019.
“The investment reflects our strategic emphasis on natural gas resources and the growing partnership with Eni, through which our strengths are combined to unlock new reserves.”
Upon the completion of the transaction, Eni Sharjah will own a 50% stake in Sharjah Onshore Area A while SNOC and PTTEP MENA will each hold a 25% stake.
Subject to customary closing conditions and government approvals, the transaction is planned for completion within 2022.
Earlier in the UAE, PTTEP invested in four projects including the Abu Dhabi Offshore 1, Abu Dhabi Offshore 2, Abu Dhabi Offshore 3, and the Sharjah Onshore Area C.
In August 2022, Eni and PTTEP announced a second gas discovery in the Abu Dhabi Offshore Block 2 offshore UAE, following drilling of the exploration well XF-002.