TotalEnergies to Acquire Full Ownership of SapuraOMV, Expanding Gas Operations in Malaysia

(P&GJ) — TotalEnergies has entered into an agreement with Sapura Upstream Assets Sdn Bhd (SUA) to acquire its 50% interest in Malaysian independent gas producer and operator SapuraOMV Upstream Sdn (SapuraOMV) for $530 million, pending closing adjustments.

This deal follows a previous agreement signed with OMV on January 31st, 2024, for the acquisition of its 50% interest in SapuraOMV. Pending regulatory approvals and other conditions precedent, TotalEnergies will assume full ownership of SapuraOMV upon completion of both transactions, expected in the second half of 2024.

SapuraOMV's primary assets include a 40% operated interest in block SK408 and a 30% operated interest in block SK310, situated offshore Sarawak in Malaysia. In 2023, SapuraOMV's operated production reached approximately 500 million cubic feet per day of natural gas and 7,000 barrels per day of condensates. Notably, the development of the Jerun gas field in block SK408 is progressing as planned for a launch in the latter half of 2024.

Additionally, SapuraOMV holds interests in exploration licenses across Malaysia, Australia, New Zealand, and Mexico, with a notable discovery made in 2023 on block 30.

“Following the transaction with OMV announced two months ago and this new transaction with Sapura Upstream Assets,TotalEnergies will have full ownership of SapuraOMV and become a significant gas operator in Malaysia,” Patrick Pouyanné, chairman and CEO of TotalEnergies, said. “The SapuraOMV assets are fully in line with our strategy to grow our 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 development opportunities for our company.”

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