Total SA, Europe’s third-largest oil company, sold a stake in an Eni SpA-operated offshore Angolan oilfield to Sonangol EP for $750 million.
Total sold its 15 percent share in Angola Block 15/06 to focus on its main assets, according to Jacques Marraud des Grottes, senior vice-president for Africa at the Paris-based company’s exploration and production division.
Total has “more material interests” in Angolan Block 17’s Clov project and Kaombo in Block 32, he said in a statement. Block 15/06, about 350 kilometers (218 miles) northwest of Luanda, is expected to start production in 2015, Total said.
The company has vowed to cut capital spending and sell $15 billion to $20 billion of assets from 2012 to this year. It last year sold a stake in the offshore Nigerian Usan field and one of its Congo sites. Chief Executive Officer Christophe de Margerie last month said development costs are becoming too high.
“We have to redefine how we can develop some fields without spending as much money,” he said in an interview.
BP Plc, Europe’s second-largest oil company, said today its quarterly profit fell from a year before as output declined and refining margins weakened. BP follows Royal Dutch Shell Plc and Exxon Mobil Corp., the biggest oil companies by market value, in reporting lower profit as costs rose and oil prices stagnated.