ConocoPhillips said it made a cash payment of approximately $1.4bn for the additional interest in the project, following the customary closing adjustments.
For this deal, ConocoPhillips exercised its pre-emption right to increase its stake in the APLNG project, to from 37.5% to 47.5%.
The pre-emptive move came in response to a $1.59bn deal signed by Origin Energy, in October 2021, to sell a 10% stake in the project to US-based energy investor EIG.
ConocoPhillips chairman and CEO Ryan Lance said: “We are pleased to acquire this additional stake in APLNG which, throughout its six years of operations, has served as a reliable and efficient supplier of natural gas to the growing Asia Pacific market, and to Australia’s East Coast gas market.
“With the global energy transition underway, we expect LNG to play an increasingly important role, as it is lower in greenhouse gas emissions intensity than other alternatives.
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“At the same time, this strategic acquisition of an additional shareholding interest in APLNG further diversifies our product mix while lowering our aggregate decline rate.”
ConocoPhillips’ full-year 2021 production rates from the APLNG project stood at 113,000 barrels of oil equivalent per day.
Origin Energy’s stake in the project is reduced to 27.5% while Sinopec holds a 25% interest.
Last year, ConocoPhillips purchased Permian assets, in the US, from Royal Dutch Shell subsidiary Shell Enterprises, for $9.5bn.
The transaction included Shell’s 225,000 net acres and producing properties in Texas, along with 175,000 barrels equivalent per day.