Italian Energy Major, Eni SpA is looking to raise more than €4 billion ($4.3 billion) from disposals in its global upstream business, people familiar with the matter revealed. The sales is part of a broader strategy disposing of €8 billion in assets over the next three years.
Bloomberg reported on Monday, that some operations in Indonesia and Cyprus are units that could be candidates for the asset sale plan, the people said, requesting to be kept anonymous as the discussions are still confidential. Eni did not comment on the report from Bloomberg.
The report, follows an announcement last week that Eni would sell two high-quality upstream assets in Alaska, signing a binding agreement with Hilcorp, a large US privately owned firm, to sell the Nikaitchuq and Oooguruk assets in which it has a 100% stake. According to Reuters, financial analysts estimate the deal value to be somewhere between $428 million and $855 million.
While in May, Eni said it was considering spinning off some stakes in oil and gas projects in Asia and Africa to have partners for their development while putting aside more money into lower-carbon energy projects.
By trying to either divest or create joint ventures or international oil and gas projects, while grouping and spinning off some low-carbon projects in a “satellite strategy”, the Italian energy giant is approaching things differently when compared to its peers.
The firm had in last year, agreed to sell a 9% stake in its low-carbon energy unit Plenitude which values the business at around $10.8 billion.
