French energy major, Total, has been informed by Occidental that it cannot acquire oil and gas assets in Algeria, which was part of the companies’ $8.8 billion deal to buy Anadarko’s assets in Africa, according to Reuters.
“Occidental officially told us that we cannot acquire the Algeria assets,” Total’s CEO Patrick Pouyanne told analysts during a conference call after its Q1 2020 results. He also told analysts that the decision was based on the objection of Algiers, meanwhile, Occidental will remain an operator unless it can find a way to sell it to Total.
As part of its cash-raising to fund its purchase of Anadarko, Occidental agreed with Total that Total would take over some of Anadarko’s assets. Anadarko has assets in Algeria, Ghana, Mozambique and South Africa.
Algerian authorities took the steps to block Total’s acquisition of the assets.
Occidental acquired Anadarko in 2019 in a transaction valued at $55 billion.