OMV turns focus to Southeast Asia with acquisition of Sapura Upstream
Published by Aimee Knight,
Editorial Assistant
Oilfield Technology,
Following the news (Wednesday 12 September) that OMV and Sapura Energy have entered into Heads of Agreement for OMV to acquire 50% of Sapura Upstream, Jonathan Markham, Oil & Gas Analyst at GlobalData, offers his view on the key aspects of this transaction.
Upcoming projects provide 55% of the value in Sapura’s portfolio. These developments are shallow water conventional gas fields in blocks SK408 and SK310, offshore Sarawak, Malaysia. Sapura’s producing upstream assets are also located in Malaysia, with one gas field, B15, online in block SK310, along with a series of mature oil fields located offshore Terengganu.
OMV’s proposed acquisition of half of Sapura’s upstream portfolio is valued at around US$800 million and would give OMV its first assets in Southeast Asia, adding an estimated production entitlement of over 33 000 barrels of oil equivalent per day (boe/d) by 2025. There are also exploration synergies in Australia and New Zealand between OMV’s existing portfolio and Sapura Upstream’s holdings.
“The deal for Sapura Upstream continues the aggressive growth strategy OMV has pursued over the past couple of years. OMV has acquired assets in UAE, Russia and New Zealand, spending nearly US$4 billion, adding production entitlement of around 150 000 boe/d in 2018.”
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/13092018/omv-turns-focus-to-southeast-asia-with-acquisition-of-sapura-upstream/
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SapuraOMV’s main assets are its 40% operated interest in block SK408 and 30% operated interest in block SK310, both located offshore Sarawak in Malaysia.