Business | Oil & Gas
Oil Search sells Mena assets to KEC
Australian-listed oil and gas firm Oil Search Ltd said on Tuesday it will sell its Middle East and North Africa (Mena) unit to Kuwait Energy Co (KEC) for $200 million plus working capital to help fund a liquefied natural gas (LNG) project.
- Reuters
- Published: 00:17 April 16, 2008
Perth: Australian-listed oil and gas firm Oil Search Ltd said on Tuesday it will sell its Middle East and North Africa (Mena) unit to Kuwait Energy Co (KEC) for $200 million plus working capital to help fund a liquefied natural gas (LNG) project.
The Mena assets include three fields in Eygpt and five fields in Yemen. The sale will free up funds for its Papua New Guinea LNG project, Oil Search said in a statement.
"It will also enable the company to refocus its organic growth programme on areas of greater materiality going forward," Oil Search Managing Director Peter Botten said.
The effective date of the transaction is back-dated to February 28 and the completion, subject to government and joint venture partner approvals, is expected in mid-2008, Oil Search said.
Oil Search, a partner in an ExxonMobil proposed LNG project in Papua New Guinea, said in March the project was estimated to cost $10-$11 billion.
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