Azerbaijan’s state oil firm Socar is near signing a deal to purchase privately-held Italian refiner Italiana Petroli, Reuters reported on Monday, citing sources.
The Brachetti-Peretti household, homeowners of Italiana Petroli, which controls one in every of Italy’s largest gasoline station networks, have agreed to promote the corporate to Socar, with the signing of the deal anticipated imminently, in response to Reuters’ sources.
In June this yr, Reuters reported that Socar is in competitors with Gunvor, one of many world’s largest unbiased commodity merchants, and with Abu Dhabi-based Bin Butti Group for buying Italiana Petroli.
All three suitors have reportedly submitted provides to purchase 100% of the Italian agency. On the time, the homeowners of Italiana Petroli have been looking for about $3.5 billion (3 billion euros) for the refiner, sources with data of the matter informed Reuters in June.
In current months, Azerbaijan’s Socar has expanded cooperation with international majors for initiatives in Azerbaijan and abroad.
Earlier this yr, ExxonMobil and SOCAR signed a memorandum of understanding to discover unconventional onshore oil reserves in a transfer that might open a brand new chapter for the nation’s hydrocarbon sector.
Introduced throughout Baku Power Week, the deal marks Exxon’s entry into Azerbaijan’s underdeveloped onshore oil section, which at present accounts for simply 5% of nationwide manufacturing. Whereas no exploration drilling is deliberate but, Exxon’s experience in unconventional oil—sometimes trapped in porous rock and requiring superior methods like fracking—might considerably enhance future output.
Socar has additionally signed a partnership take care of Turkey’s state power agency TPAO and UK-based supermajor BP for the event of a pure fuel area within the Azeri sector of the Caspian Sea.
Hungary’s MOL Group and SOCAR have signed key phrases for an exploration, improvement, and manufacturing sharing settlement (PSA) for the Shamakhi-Gobustan onshore area. The deal strengthens their strategic partnership and bolsters Azerbaijan’s hydrocarbon sector amid rising international demand for power safety.
By Michael Kern for Oilprice.com
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