KUALA LUMPUR: ExxonMobil Exploration & Production Malaysia Inc. (ExxonMobil) is selling its stake in the Seligi Oil Field in the South China Sea and the PM8 Production Sharing Contract (PSC) to EnQuest PLC's Malaysian unit.
It said on Friday that EnQuest, which is a UK-based petroleum exploration and production company, would take over the operations of these assets.
ExxonMobil Exploration & Production Malaysia Inc. chairman and president See Kok Yew said: "This divestment is consistent with our long-standing practice of continually reviewing our assets for their contribution to ExxonMobil's operating and financial objectives."
He said ExxonMobil continues to operate 32 platforms in 12 producing fields and retains a working interest in another 10 platforms in five fields in the South China Sea.
"These fields collectively produce about 20% of the nation's crude oil and condensate, and supply about 50% of Peninsular Malaysia's natural gas needs," he added.
See said ExxonMobil remains a significant investor in Malaysia's oil and gas industry. It recently brought the Telok and Damar gas development projects on line, as well as advancing the Tapis enhanced oil recovery project.
These upstream investments are key initiatives under Malaysia's Economic Transformation Programme.