TotalEnergies Acquires 50% Stake in Malaysian SapuraOMV

TotalEnergies Acquires 50% Stake in Malaysian SapuraOMV

TotalEnergies has announced that it signed an agreement with OMV to acquire its 50% interest in Malaysian independent gas producer and operator SapuraOMV Upstream Sdn. The deal is valued at $903 million, including the transfer of a $350 million loan granted by OMV to SapuraOMV.

SapuraOMV’s main assets are located offshore Sawark in Malasia, specifically in the SK408 and SK210 blocks, in which it operates by 40% and 30%, respectively. Notably, on block SK408, the development of the Jerun gas field is on track for startup in the second half of the year 2024.

In 2023, SapuraOMV’s operated production (100%) was about 500 Mcf/d of natural gas, feeding the Bintulu LNG plant operated by Petronas, as well as 7 kb/d of condensates.

SapuraOMV also holds interests in exploration licenses in Malaysia, Australia, New Zealand, and Mexico, where a discovery was made in 2023 on block 30.

“We are pleased to strengthen TotalEnergies’ position in Malaysia by becoming shareholders of the independent gas producer SapuraOMV. Over the past few years, we have developed a strategic international partnership with Petronas, the national company of Malaysia. This transaction will anchor our future growth in the country and reinforce our partnership with Petronas. With their low production costs and low GHG intensity, SapuraOMV’s assets will perfectly fit in TotalEnergies’ portfolio and participate in meeting the growing demand for gas in Asia,” said Patrick Pouyanné, Chairman and CEO of TotalEnergies.

It is worth noting that TotalEnergies owns interests in two PSCs in the exploration phase. Moreover, it has signed in June 2023 an agreement with Petronas and Mitsui to develop a carbon storage project in Southeast Asia and evaluate several CO2 storage sites in the Malay Basin.

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Doaa Ashraf 452 Posts

Doaa is a staff writer with a Bachelor's Degree in Mass Communication, majoring Journalism from Ahram Canadian University. She has 2-3 years of experience in copywriting, and content creation.

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