Core Viewpoint - Eni has signed a binding agreement to sell a 10% stake in the Baleine offshore oil and gas project in Côte d'Ivoire to SOCAR, reducing its operating stake to 37.25% while remaining the project operator [1] Group 1: Eni's Strategy and Operations - The transaction aligns with Eni's "dual exploration model," which accelerates monetization of major discoveries by selling minority stakes while retaining operatorship, a core pillar of its upstream strategy [2] - The Baleine field is significant for both Eni and Côte d'Ivoire, moving from discovery to first production in just two years, with production beginning in 2023 [3] - Baleine is Africa's first net-zero emissions upstream development, currently producing over 62,000 barrels of oil per day and over 75 million cubic feet of gas per day, with plans to increase output significantly in Phase 3 [4] Group 2: SOCAR's Expansion and Market Dynamics - For SOCAR, the acquisition expands its international upstream footprint beyond Azerbaijan and the Caspian region, building on a broader cooperation framework with Eni [5] - The transaction highlights growing international interest in West African offshore resources, particularly gas-rich developments, and the appeal of partial asset sales as a capital-management tool for major companies [6]

Core Insights - Eni has sold a 30% stake in the Baleine oil and gas project to Vitol, resulting in ownership distribution of 47.25% for Eni, 30% for Vitol, and 22.75% for Petroci [1] - The Baleine project, discovered in 2021, has achieved production of over 62,000 barrels of oil and 75 million cubic feet of gas per day, with expectations to increase to 150,000 barrels of oil and 200 million cubic feet of gas per day with Phase 3 [2][3] Eni's Strategy - The sale aligns with Eni's strategy to optimize its upstream portfolio through the "dual exploration model," which involves divesting equity stakes to accelerate monetization of exploration discoveries [2][3] - Earlier in the year, Eni announced a $1.65 billion deal with Vitol for stakes in upstream assets in West Africa, subject to cash adjustments [3] Vitol's Position - Vitol aims to expand its upstream and downstream assets following significant profits during the volatile energy commodity prices in 2022-2023 [4] - The partnership between Eni and Vitol is further solidified with existing collaborations in the OCTP and Block 4 projects in Ghana [4][5]