The Russian company Rosneft has completed the acquisition of a 30% interest in the Shorouk concession agreement for the development of the offshore Zohr gas field (Egypt) from the Italian company Eni S.p.A for US$1.125bn. Besides, Rosneft also refunded its share in the past project costs to Eni. The deal was inked back in December 2016. Eni sold the stake under the framework of its "dual exploration model", which aims at early monetization of the value through the dilution of the high participating interest owned in huge exploration discoveries.
The Zohr gas project is operated by Eni (60% stake before Rosneft's acquisition) while Rosneft and BP hold the remaining shares, respectively 30% and 10%. The field was discovered by Eni back in August 2015 and its estimated gas reserves exceed 850 bcm. The first phase of development of Zohr is now being fast-tracked, with first gas currently expected in late 2017.