Longboat Energy, an emerging full-cycle E&P company active in Norway and Malaysia, has announced the expansion of its business in SE Asia through the acquisition of privately held Topaz Number One Limited ('Topaz'), increasing its working interest in the Production Sharing Contract over Block 2A offshore Sarawak, Malaysia to 52.5%.
Highlights
- Topaz's sole asset is a 15.75% working interest in Block 2A, offshore Sarawak Malaysia, containing the giant 'Kertang' prospect
- Following completion of the transaction, Longboat will hold an operated 52.5% interest in Block 2A, simplifying the process towards a positive well decision and the potential introduction of an additional funding partner prior to drilling
- The Topaz team, comprised of James Menzies and Pierre Eliet, will join Longboat Energy, bringing extensive regional expertise and an established network, accelerating Longboat's ambitions to build a full cycle E&P business in SE Asia
- The transaction consideration closely aligns the Topaz team with value delivery from Block 2A
Helge Hammer, Chief Executive of Longboat Energy, commented:
'We are pleased to have increased our interest in the extensive and prospective Block 2A in deep water Sarawak, which contains the giant Kertang prospect. Sarawak has seen significant exploration success in recent years, and we are excited to play a role in the quest for additional gas resources in the area.
'We welcome James and Pierre to Longboat. Their extensive experience and network from SE Asia combined with our in-house technical expertise, puts us in a strong position to deliver accelerated growth in the region. In parallel with maturing Block 2A towards the drilling decision, we focus on adding production and development assets to our portfolio in SE Asia.'
Block 2A
According to information on the Longboat Energy web site:
Longboat was awarded a Production Sharing Contract ('PSC') for Block 2A offshore Sarawak in the Malaysian Bid Round 2022, long with partners Petronas, Petros and Topaz.
Block 2A is located north-west of the prolific Central Luconia hydrocarbon province, outboard of recent gas discoveries. It covers approx. 12,000km2 and is located in water depths of between 100-1,400 metres. The Bintulu LNG plant, one of the world’s largest LNG facilities, is located onshore on the coast of Sarawak.
A number of large prospects across multiple plays have been identified and the main prospect is a large anticlinal structure called Kertang. The closure is over 100km2 at multiple levels with significant volume potential representing multiple trillions of cubic feet of gas. Seismic indicators for the presence of gas can be observed in the area and over the crest of the prospect. These indicators, together with geochemical analysis of sea floor samples over the main prospect provide strong evidence of the area being gas-prone.
For further info, see Presentation: Topaz Acquisition & SE Asia Expansion (September 2023)
Click here for full announcement
Source: Longboat Energy
