Oil and Gas News

Eni withdraws from Australian asset sale

Eni has reportedly called off a sale process for its Australian gas assets after failing to receive attractive bids.

The Italian state-owned company’s assets include the Blacktip gas project offshore the Northern Territory, as well as interests in the Bayu-Undan gas field in the Timor Sea and the Darwin LNG project.

According to Reuters, Eni values the assets at around $1 billion but they have failed to attract satisfactory bids, citing sources close to the matter.

Eni planned to offload its non-core assets in Australia as part of a strategy to raise cash after the impact of the global downturn triggered by the coronavirus pandemic.

It has previously been reported that Eni expected to receive bids for the assets by the end of November last year.

News that the sale process had been halted was first reported by Italian news service, MF.

Eni is the second company to abandon the sale of its Australian assets due to unsatisfactory bids over the past six months, with ExxonMobil also calling off a sale process for its projects in the country in late 2020.