PTTEP Boosts Stake in Sinphuhorm Project
PTT Exploration and Production Public Company Limited (PTTEP) revealed Friday that its subsidiary, PTTEP SP Limited, has signed an agreement to acquire a 33.8 percent stake in APICO LLC from Tatex Thailand LLC and Tatex Thailand II LLC.
The total transaction value is approximately $64 million, according to PTTEP. The company said the transaction is expected to complete within the first half of 2019.
APICO LLC holds a 35 percent participating interest in Blocks EU1 and E5N, or the Sinphuhorm Project, and a 100 percent participating interest in Block L15/43 and Block L27/43, both located in the northeast of Thailand.
PTTEP currently owns a 55 percent operated interest in the Sinphuhorm Project. After the completion of the transaction, PTTEP’s stake will increase to 66.8 percent. The Sinphuhorm Project’s average sales volume of natural gas stood at approximately 79 million cubic feet per day, or 12,927 barrels of oil equivalent per day, in 2018, according to PTTEP.
"This acquisition fits PTTEP’s growth strategy to expand investment in Thailand and South East Asia, where PTTEP has expertise which will increase petroleum reserves and generate return on investment to the company as well as providing reliable energy supply for the country,” Phongsthorn Thavisin, PTTEP president and CEO, said in a company statement.
PTTEP is a national petroleum exploration and production company headquartered in Bangkok, Thailand. Last month, the company reported a net profit jump of 89 percent in 2018, compared to 2017.
WHAT DO YOU THINK?
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.