Mubadala Petroleum has announced the sale of 20 percent participating interest in two offshore gas fields in Indonesia.
Premier Oil, a UK-based independent oil company, has acquired the stakes in the Andaman I and south Andaman blocks.
Mubadala Petroleum, which is a wholly-owned subsidiary of Mubadala Investment Company, will retain the remaining 80 participating interest in the gas fields in Indonesia.
With regard to the stake sale, Dr. Bakheet Al Katheeri, chief executive at Mubadala Petroleum told the media, “The completion of this farmout is another important step for Mubadala Petroleum and for the exploration of the Andaman blocks offshore Aceh, and supports Mubadala Petroleum’s growth strategy in Indonesia.”
The government of Indonesia has also given its approval for the deal.
Premier Oil, on the other hand, owns a 70 percent participating interest in the Andaman II block. The remaining 30 percent is owned by Mubadala Petroleum.
Mubadala Petroleum has been operating in Indonesia since 2004.
Earlier this month, Mubadala Petroleum, along with Royal Dutch Shell and Chevron, was awarded exploration rights in the Red Sea by the Egyptian government.
While Chevron and Royal Dutch Shell were awarded a block each, Mubadala Petroleum will share a block with Shell.
In the month of November 2019, Mubadala Petroleum started exploration in the Manora oil field in the Gulf of Thailand, along with Tap Oil, an Australia-based independent oil company.
While Mubadala Petroleum holds a 70 percent participating interest in the oil field, Tap Oil holds the other 30 percent.
Similarly, the UAE-based oil company also signed a production sharing contract with Thailand’s PTTEP Energy Development Company. Both the companies will work together to develop the offshore Block G1/61 that contains the Erawan field.