TotalFinaElf buys Agip's stake in Zambian refinery, marketing

By the OGJ Online Staff

HOUSTON, Nov. 27 -- TotalFinaElf SA has acquired the refining and marketing assets of Agip Zambia, an ENI SPA affiliate, subject to Zambian government approval.

The French company has acquired a 50% interest in the 20,000 b/d Indeni refinery in Ndola; it will provide technical support for the refinery. The government will continue to hold 50%.

The marketing assets include 20 service stations, a 2,240 cu m motor fuel depot in Lusaka, and a 10.5% interest in a lubricant plant in Ndola, in which TotalFinaElf already owns a 10.5% interest.

TotalFinaElf said this is its first foray into the Zambian refining industry and that the deal consolidates its marketing position.

The Total-branded network will be expanded to 50 retail outlets, for a market share of 15%.

TotalFinaElf now has interests in seven African refineries with an aggregate capacity of 290,000 b/d.