Chad approves bill to nationalise assets ExxonMobil sold to Savannah Energy
Savannah Energy has vowed to pursue all its legal options to reclaim its $407m asset
29 March 2023 - 20:16
byMahamat Ramadane
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N’Djamena — Chad’s parliament on Wednesday approved a bill to nationalise oil assets and rights acquired last year by Savannah Energy from ExxonMobil’s affiliate, Esso Exploration and Production Chad.
In December, ExxonMobil closed the sale of its operations in Chad and Cameroon to Africa-focused oil and gas producer Savannah Energy in a $407m deal, but the Chadian government challenged the agreement.
Out of 175 legislators present, 172 backed the law to nationalise the assets — a move Savannah vowed last week to contest.
“Savannah and Esso-ExxonMobil have taken actions that pose serious and immediate threats to public order in Chad, as well as to all actors in this economic sector that is crucial to the stability and development of Chad,” minister of petroleum & energy Djerassem Le Bemadjiel told parliament.
Chad’s energy and hydrocarbons ministry said last week that all the relevant assets and rights would be nationalised, including hydrocarbon permits and exploration and production authorisations that belonged to the ExxonMobil subsidiary.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Chad approves bill to nationalise assets ExxonMobil sold to Savannah Energy
Savannah Energy has vowed to pursue all its legal options to reclaim its $407m asset
N’Djamena — Chad’s parliament on Wednesday approved a bill to nationalise oil assets and rights acquired last year by Savannah Energy from ExxonMobil’s affiliate, Esso Exploration and Production Chad.
In December, ExxonMobil closed the sale of its operations in Chad and Cameroon to Africa-focused oil and gas producer Savannah Energy in a $407m deal, but the Chadian government challenged the agreement.
Out of 175 legislators present, 172 backed the law to nationalise the assets — a move Savannah vowed last week to contest.
“Savannah and Esso-ExxonMobil have taken actions that pose serious and immediate threats to public order in Chad, as well as to all actors in this economic sector that is crucial to the stability and development of Chad,” minister of petroleum & energy Djerassem Le Bemadjiel told parliament.
Chad’s energy and hydrocarbons ministry said last week that all the relevant assets and rights would be nationalised, including hydrocarbon permits and exploration and production authorisations that belonged to the ExxonMobil subsidiary.
Reuters
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