PTT Exploration and Production Public Company Limited (PTTEP) disclosed that its subsidiary, PTTEP SP Limited, signed the Share Purchase Agreement (SPA) to acquire 33.8% stake in APICO LLC from Tatex Thailand LLC and Tatex Thailand II LLC with total transaction value of approximately USD 64 million. The transaction is expected to complete within the first half of 2019.
APICO LLC holds 35% participating interest in Blocks EU1 and E5N or the Sinphuhorm Project and 100% participating interest in Block L15/43 and Block L27/43 both located in the northeast of Thailand.
Phongsthorn Thavisin, PTTEP President and Chief Executive Officer, said "this acquisition fits PTTEP's growth strategy to expand investment in Thailand and South East Asia where PTTEP has expertise which will increase petroleum reserves, and generate return on investment to the company as well as providing reliable energy supply for the country."
PTTEP is currently the operator with a 55% interest in the Sinphuhorm project. After the completion of the transaction, PTTEP's stake, both direct and indirect, in this project will increase to 66.8%.
In 2018, Sinphuhorm Project had average sales volume of natural gas at approximately 79 million cubic feet per day (12,927 barrels of oil equivalent per day) and average condensate sales volume at 246 barrels per day.