Murphy Oil Corp. entered into an agreement with PT Pertamina Malaysia Eksplorasi Produksi to sell 30% of Murphy's Malaysian oil and gas assets in a US$2 billion all-cash deal.
The contract will take place in two phases: the first phase is set for 4Q 2014 and the second phase in 1Q 2015 and will become effective 1 January 2014.
The contract is subject to the approval of Petronas and customary closing costs and adjustments for the period from effective date to closing.
Murphy says they will remain the operator and continue with development plans.
Murphy holds majority interests in seven production sharing contracts in Malaysia: Block K, Block H, Block P, SK 309, SK 311; and SK 314A, and three gas holding agreements in PM 311.
Murphy reports that its Malaysian fields contributed approximately 86,000 boe/d net production in 2013, more than 40% of the company’s total. The company plans to add 16 wells in Sarawak in East Malaysia this year; seven at Serendah and nine at South Acis.
Image from Murphy Oil
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