Sapura Upstream has signed farm-in agreements for three offshore exploration permits held by Australian oil and gas firm Finder Exploration.
“Our entry into Australia marks another significant milestone for our upstream business as we continue to pursue growth in line with our strategy to expand our portfolio and acreage position,” said Tan Sri Dato’ Seri Shahril Shamsuddin, President and Group Chief Executive Officer, Sapura Energy.
Poised to become one of Asia’s largest independent oil and gas (O&G) company in terms of reserves and resources, Sapura Upstream has been consistently recording notable successes that will bring the company closer to its aspiration. This includes commencing production from its SK310 B15 gas field, ramping up development of its SK408 block and making its ninth gas discovery offshore Sarawak in Malaysia as well as making inroads into New Zealand with a series of farm-ins and winning Block 30 in Sureste Basin in the Gulf of Mexico.
“Our joint venture with Finder is a demonstration of the trust and recognition for both our shallow and deep-water capabilities, technical skills and geological expertise,” he said.
Following the signing of the farm-in agreements with Finder and subject to securing requisite regulatory approvals, Sapura Upstream will acquire interests in blocks EP 483 & TP/25, WA-412-P, and AC/P 61.
All three exploration permits are located within the highly prolific North West Shelf oil and gas province off Western Australia. The EP 483 & TP/25 permit is located close to infrastructure, in shallow water at the southern margins of the Carnarvon Basin while the WA-412-P permit is located in the northern Carnarvon Basin, adjacent to several large oil and gas fields. Both Carnarvon Basin permits contain high quality, drill ready prospects offering significant upside potential. The AC/P 61 permit is located in the Vulcan Sub-basin, where it is surrounded by oil and gas discoveries and contains numerous prospects and leads.
Completion of the farm-in is subject to parties securing the requisite regulatory approvals. On completion, Sapura Upstream will acquire a 70% interest in all three exploration permits and assume operatorship, while Finder will retain a 30% interest in the permits. With the farm-in, the joint venture plans to drill two exploration wells in the Carnarvon Basin permits during 2019-2020 and acquire seismic data in AC/P 61 permit during 2019 in order to mature these potential drilling locations.
Source: Company Press Release