HOUSTON – ConocoPhillips has agreed to sell its 8.4% stake in the North Caspian Sea production sharing agreement (Kashagan) to ONGC Videsh for $5 billion.
The Kashagan field development is in the Kazkah sector of the Caspian Sea. The transaction should close during the first half of 2013, pending government approvals and any actions on Kazakhstan state preemption rights and co-venturers’ preemption rights.
“The sale of this quality asset is an important component of our ongoing strategic asset disposition program,” said Don Wallette, ConocoPhillips executive vice president, commercial, business development, and corporate planning.
The company plans to raise $8-10 billion by end-2013 from sales of various global assets.