TotalEnergies (Paris:TTE) (LSE:TTE) (NYSE:TTE) has signed an agreement with Sapura Upstream Assets Sdn Bhd (SUA) to acquire the latter's 50% stake in the independent gas producer and operator Malaysia's SapuraOMV Upstream Sdn (SapuraOMV) for a period of consideration of USD 530 million, subject to adjustment at closing. Closing is expected in the second half of 2024.
TotalEnergies acquired 50% of Sapura Upstream Assets' shares at SapuraOMV for 530 million USD, aiming for full ownership. The move, which follows a previous agreement with OMV, makes TotalEnergies a significant gas operator in Malaysia. SapuraOMV's assets, including interests in blocks SK408 and SK310, are consistent with TotalEnergies' gas production expansion strategy.
This agreement follows the first agreement signed with OMV on January 31, 2024 for the acquisition of 50% of SapuraOMV's shares.
Upon completion of both transactions, subject to certain conditions precedent, in particular regulatory approvals, TotalEnergies will own 100% of SapuraOMV.
SapuraOMV's principal assets are a 40% operated interest in block SK408 and a 30% operated interest in block SK310, both located offshore Sarawak in Malaysia. In 2023, SapuraOMV-operated production (100%) is approximately 500 Mcf/d of natural gas, supplying the Petronas-operated Bintulu LNG plant, as well as 7 kb/d of condensate. In block SK408, the Jerun gas field development project is on track to launch in the second half of 2024. SapuraOMV also holds exploration license interests in Malaysia, Australia, New Zealand and Mexico, where the discovery was made in 2023 in lot 30.
“Following the transaction with OMV announced two months ago and this new transaction with Sapura Upstream Assets, TotalEnergies will take full ownership of SapuraOMV and become a significant gas operator in Malaysia,” it said. Patrick Pouyanné, Chairman and CEO of TotalEnergies. “The SapuraOMV asset fits perfectly into our strategy to grow gas production to meet demand growth, focusing our portfolio on low-cost and low-emission assets. We look forward to strengthening our global partnership with Petronas in Malaysia, a country where we see further growth opportunities for our Company.”
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Fiber2 Fashion News Desk (HU)
