Hibiscus Reveals Repsol Deal Value

Hibiscus Reveals Repsol Deal Value
Hibiscus Petroleum Berhad (HIBI: MK) has revealed the value of its recent Repsol deal.

Hibiscus Petroleum Berhad (HIBI: MK) has revealed the value of its recent Repsol deal, which will see the company’s indirect wholly owned subsidiary, Peninsula Hibiscus Sdn Bhd, buy the entire equity interest in Fortuna International Petroleum Corporation.

The deal includes a total cash consideration of $212.5 million, according to Hibiscus Petroleum, which noted that the proposed acquisition is a unique opportunity for the group to acquire a high-quality asset portfolio. The purchase comprises five production sharing contracts in Malaysia and Vietnam.

Repsol first announced that it had agreed to sell its exploration and production assets in Malaysia and in Block 46 CN in Vietnam to a fully owned subsidiary of Hibiscus Petroleum on June 1. The company did not disclose the value of the deal.

“We are pleased to announce that after an international, competitive bidding process, we have been selected by Repsol to acquire their Malaysian and Block 46 Vietnam assets,” Hibiscus Petroleum’s Managing Director, Kenneth Pereira, said in a company statement.

“We would like to thank the Repsol organization and their advisors, J.P. Morgan for a well-managed process to-date. As far as the assets are concerned, we have previously demonstrated our capability in enhancing value from acquired mature fields in Malaysia and the United Kingdom and we are motivated to repeat past, positive experiences, here,” he added in the statement.

“Once completed, this acquisition will be transformational for us and bodes well for the business trajectory of Hibiscus Petroleum into its next phase of growth. I would like to add that we have a very high regard for the team at Repsol and we are looking forward to welcoming them into the Hibiscus family and working with them to further monetize opportunities within the assets,” The Hibiscus Petroleum representative went on to say.

To contact the author, email andreas.exarheas@rigzone.com



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