Jadestone acquires Malaysia’s SapuraOMV Upstream PM
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Jadestone acquires Malaysia’s SapuraOMV Upstream PM

03 Aug 2021 (Last Updated August 3rd, 2021 14:56)

Jadestone anticipates the SapuraOMV PM’s Peninsular Malaysia assets to increase its 2P reserves by 34%.

Singapore’s Jadestone Energy has acquired SapuraOMV Upstream (PM) (SapuraOMV PM), a subsidiary of SapuraOMV Upstream, to enter Malaysia’s upstream sector.

SapuraOMV PM owns stakes in producing assets, including AAKBNLP, PM318, PM323 and PM329 production sharing contracts (PSC), all located offshore Peninsular Malaysia.

The firm serves as the operator for the PM323 and PM329 PSCs.

Malaysia’s national oil company Petroliam Nasional (Petronas), through its subsidiary, operates the AAKBNLP and PM318 PSCs with a 50% stake.

The PSCs have an average year-to-date net production of around 6,000 barrels of oil equivalent per day.

The $9m sale and purchase agreement (SPA), which was signed in April 2021 between Jadestone Energy and SapuraOMV, was subject to regulatory approval from Petronas, among other conditions.

Petronas Malaysia petroleum management senior vice-president Mohamed Firouz Asnan said: “This is a testament that the country remains attractive with diverse investment opportunities available to suit different investors’ appetite and capabilities.

“Having the right asset placed in the hands of the right player unlocks its full potential, thus maximising returns for both our upstream investors and Petronas as the custodian of hydrocarbon resources in Malaysia.”

Jadestone expects the Peninsular Malaysia assets to increase the firm’s 2P reserves by 34%, adding 12.5 million barrels oil equivalent of net working interest 2P reserves.

Meanwhile, Petronas is hosting the Malaysia Bid Round (MBR) 2021, to unlock the full hydrocarbon resources potential in the country.

The MBR 2021, which is themed ‘Grow Your Energy Portfolio With Us’, is offering 13 exploration open blocks bundled with six discoveries.