Lukoil to lose Cairn’s Sangomar stake to Woodside

Australian firm Woodside has moved to corner the purchase of Cairn Energy’s 40% stake in the Sangomar project off Senegal out from under the nose of Russian firm Lukoil.

Lukoil is a Russian major exploration and production company with headquarter in Moscow has last month struck a deal to buy Scottish firm Cairn’s entire interest in the Rufisque, Sangomar and Sangomar Deep (RSSD) licences for $300 million up front and $100m contingent on the timing of first oil and crude prices. The stride taken by Lukoil to carve a niche in its quest to penetrate African energy prospects was ephemeral owing a stiff objection from Woodside the operator of the oilfield.

Woodside stiff objection in allowing Russian owned company to gain access to African oil and gas prospects is not far from prevailing economic sanctions imposed by the European Union (EU) and the United States on the Russian oil and gas industry.

 The Rufisque Offshore, Sangomar Offshore and Sangomar Deep Offshore joint venture, comprising of Woodside (Operator), Capricorn Senegal Limited (a subsidiary of Cairn Energy PLC) FAR Limited and Societé des Petroles du Sénégal (Petrosen), is committed to the development of Sangomar field in accordance with international industry best practice and relevant government regulations.

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