This deal will see Sinopec acquire one fifth of the OML 138 oil block. This block includes the Usan oilfield, which began producing in February, and is jointly owned alongside Chevron, Exxon and Nexen.
Total had previously announced in September that it intended to sell between $15 billion and $20 billion in oil assets by 2014 in order to raise capital for new projects. "This sale of an asset operated from a minority position will allow us to focus our resources on the material growth opportunities in Total's portfolio,” said Yves-Louis Darricarrère, who heads up Total's oil drilling business.
For its part, Sinopec’s purchase is the latest in a growing line of examples of China buying up commodities and developing mineral resources across Africa.
