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Eni, Statoil & TOTAL May Divest Teesside Terminal Stake

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Integrated energy players Eni (E - Free Report) , TOTAL S.A and Statoil ASA might choose to divest their respective ownership interest in the Teesside oil terminal, per Reuters.

Constructed in 1975, the terminal is located in the northeast coast of England. Teesside stores and processes natural gas liquids and crude from the Valhall and Ekofisk fields located in the Norwegian part of the North Sea.   

In the oil terminal, TOTAL has 32.9% interest, while Statoil and Eni have 27.3% and 10.3%, respectively. The operator of the terminal is ConocoPhillips (COP - Free Report) , with 29.3% ownership. Per sources, the upstream energy firm is not looking for buyers.

It is to be noted that TOTAL, Statoil and Eni have not commented on possibilities of a stake sale. Also, ConocoPhillips has not expressed any reluctance toward the same.  

Notably, the sale could bring the energy players roughly $400 million.

Eni – headquartered in Rome, Italy – is involved in oil exploration. The firm also generates electricity and has businesses related to petrochemicals.

France-based TOTAL is among the top five publicly traded global integrated oil and gas companies based on production volumes, proved reserves and market capitalization.

Headquartered in Stavanger, Norway, Statoil is also engaged in the exploration of oil resources. The company also refines crude and market petroleum products all over the world.  

Eni, TOTAL and Statoil have outperformed the industry in the past year, gaining a respective 10.3%, 11.1% and 18.3% as compared with the industry’s 6.4% gain.

 

 

Investors should also know that all the three energy companies carry a Zacks Rank #3 (Hold), implying that the stocks will perform in line with the broader U.S. equity market over the next one to three months.

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