Mitra Energy to Acquire 30% Stake in Vietnam Blocks in 'Positive' Move

Mitra Energy will acquire a 30 percent working interest in blocks 05-1B and 05-1C offshore the socialist republic of Vietnam for a total cash consideration of $14.3 million.

Blocks 05-1b and 05-1c are located 217 miles offshore Vietnam in the Nam Con Son basin in water depths of around 400 feet. The Block 05-1 PSC holds two fully appraised gas and condensate discoveries, Dai Nguyet and Sao Vang, in close proximity to the Nam Con Son gas transportation pipeline and existing production facilities. These gas discoveries are strategically located to supply gas to operating power generating complexes in the industrial center of Southeast Vietnam.

Partners in the blocks are Idemitsu Oil and Gas Co. Ltd. and JX Nippon Oil & Gas Exploration Corporation, each of which hold a 35 percent working interest. 

“Block 05-1 holds significant appraised gas resource capable of being developed quickly and put onto production at high margins and with material value accretion within our portfolio,” said A. Paul Blakeley, executive chairman of Mitra.

“The acquisition plays to our deep knowledge of the Vietnam gas market and extensive experience of operating in this highly prolific hydrocarbon basin. We look forward to working with Idemitsu to share our experience and thereby providing greater certainty towards delivering optimal outcomes for the project for the benefit of all stakeholders, including the Government of Vietnam,” Blakeley added.

Market reaction to Mitra’s latest news was described as “positive” by oil and gas advisory firm FirstEnergy Capital.

“After the recent Stag oil field acquisition in Australia, new management again demonstrating their appetite for acquiring current or near term production assets is very encouraging,” said FirstEnergy in a brief research note sent to Rigzone.

A graduate in journalism from Cardiff University, Andreas has eight years of experience as a business journalist. Email Andreas at andreas.exarheas@rigzone.com

WHAT DO YOU THINK?

Click on the button below to add a comment.
Post a Comment
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE

More from this Author
Andreas Exarheas
Assistant European Editor | Rigzone
 -  Niger Delta Avengers Blow Up Bonny Cru... (Sep 26)
 -  Analysts: OPEC Production Freeze Never... (Sep 22)
 -  Norway Services Strike Affects Schlumb... (Sep 21)
 -  Aker Solutions to Temporarily Cut 100 ... (Sep 20)
 -  Tethys Increases Oil Production in Oma... (Sep 19)


Most Popular Articles

From the Career Center
Jobs that may interest you
Project Manager I
Expertise: Corrosion Engineering|Pipe Inspection / NDT|Project Management
Location: San Diego, CA
 
Regional Director, Construction and Line Operations (Amarillo, TX) Job
Expertise: Construction Manager|Operations Management|Risk Management
Location: Amarillo, TX
 
Regional Director, Construction and Line Operations (Denver, CO) Job
Expertise: Construction Manager|Operations Management|Risk Management
Location: Henderson, CO
 
search for more jobs

Brent Crude Oil : $47.35/BBL 3.18%
Light Crude Oil : $45.93/BBL 3.25%
Natural Gas : $2.99/MMBtu 1.01%
Updated in last 24 hours