By OGJ editors
HOUSTON, June 4 -- As expected, Occidental Petroleum Corp. has signed a definitive agreement with state-owned UAE Offsets Group (UOG) to acquire a 24.5% interest in the Dolphin gas project for $310 million. In signing the agreement, Oxy effectively replaces Enron Corp. as the third member of the Dolphin Energy Ltd. (DEL) group of companies, which is heading up the venture (OGJ Online, May 20, 2002).
Enron sold its DEL interest to UOG in May 2001, effectively withdrawing from the project. Other DEL partners are UOG 51% and TotalFinaElf SA 24.5%.
The $3.5 billion Dolphin project centers on developing gas and condensate from Qatar's offshore supergiant North field and exporting the gas to the UAE under a long-term, phased expansion program.
When Dolphin becomes fully operational, this project will add, net to Oxy, 125 MMcfd of incremental production of natural gas and 9,000 b/d of liquids, the company said. Production is scheduled to begin in late 2005.
