ADNOC's XRG in talks to buy stake in Eni's Libya oil and gas business, reportedly
E•XRG, ADNOC's international investment arm, is in early talks with Eni about potentially buying a stake in its Libya oil and gas business, with no certainty of a deal. Libya accounted for 162,000 barrels of oil equivalent per day, roughly 10% of Eni's output last year.
1. Early-stage negotiations
XRG, the international investment arm of Abu Dhabi National Oil Company (ADNOC), is in talks with Eni about potentially buying a stake in the Italian company's oil and gas business in Libya. The negotiations are at an early stage, and there is no certainty they will lead to a deal, one person familiar with the matter said.
2. Eni's Libyan operations
Eni has operated in Libya since 1959. The country accounted for 162,000 barrels of oil equivalent per day of production last year, roughly 10% of Eni's total output; Eni operates there through Mellitah Oil & Gas, a joint venture with Libya's National Oil Corporation.
3. Projects and expansion
XRG was established to pursue acquisitions in natural gas, chemicals and energy solutions, and aims to expand its liquefied natural gas capacity to between 20 million and 25 million metric tons a year by 2035. Eni recently completed its Bouri Gas Utilization Project and is developing the A&E Structures Project. Eni and XRG are already partners in an LNG project in Argentina being developed with state energy company YPF.
