BlackRock Tapped As Potential Buyer For Exxon's Italian LNG Asset: Report

Oil giant Exxon Mobil Corp XOM reportedly identified BlackRock Inc BLK as the prospective buyer for its dominant interest in Italy's leading liquefied natural gas (LNG) import terminal.

The decision comes after Exxon's announcement in March about a plan to offload its 70.68% share in the Adriatic LNG Terminal, aligning with its broader strategy to shed non-core assets, according to a report from Reuters.

The Adriatic LNG Terminal, stationed roughly 9 miles (15 kilometers) off the Veneto coast, also has a 22% stakeholding from a QatarEnergy subsidiary and 7.3% by the Italian gas network operator Snam. 

Italy's intention to elevate its LNG imports as an alternative to Russian pipeline gas fueled interest in the terminal.

With its worth pegged at an estimated €800 million ($881 million), competition was fierce as at least four international consortiums vied for the lucrative deal, the report noted.

While the selection of BlackRock marks a significant step, the closing of the transaction remains pending.

"The selection is the result of a thorough evaluation process that involved several prospective buyers," the report quoted an Exxon spokesperson.

However, the specific terms and conditions associated with the potential deal remain under wraps.

Also Read: Exxon Mobil's Strategy Paid Off: Bullish Analyst Touts Biofuels In New Forecast

Price Action: XOM shares closed higher by 0.17% at $115.83 on Tuesday. 

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.