Exxon lines up bidders for US$3bil assets


  • Energy
  • Saturday, 26 Sep 2020

Exxon Mobil started the process to sell its Malaysian assets last year as part of its global divestiture programme

KUALA LUMPUR: Exxon Mobil Corp has narrowed the list of bidders for its oil-producing offshore assets in Malaysia that could potentially raise US$2bil (RM8.34bil) to US$3bil (RM12.5bil) in a sale, according to sources.

UK-listed EnQuest Plc and Kuala Lumpur-traded Hibiscus Petroleum Bhd are among those that have been chosen to submit binding bids for the assets, the sources said. Other companies have also expressed interest, they said.

Exxon Mobil started the process to sell its Malaysian assets last year as part of its global divestiture programme, Bloomberg News has reported. It produces oil and gas in the country under four production sharing contracts with state-owned Petroliam Nasional Bhd, according to its website.

The US oil major’s assets in Malaysia include a 30% stake in the offshore Tapis Blend operations, which produce a low-sulfur crude that was once a benchmark for Asian oil refiners.

The production sharing contracts cover 2.4 million acres offshore and have exploration and production terms ranging up to 38 years, Exxon said in a filing in 2019. — Bloomberg

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 18
Cxense type: free
User access status: 3

Exxon Mobil , sell , assets , Malaysia ,

   

Did you find this article insightful?

Yes
No

100% readers found this article insightful

Across the site