PTTEP to acquire a 20% participating interest in Oman's Block 61 from bp for up to US$2.59 billion
Clients PTT Exploration and Production Public Company Limited
Jones Day is representing PTT Exploration and Production Public Company Limited (“PTTEP”), a national petroleum exploration and production company based in Thailand, in connection with its subsidiary, PTTEP MENA Limited's acquisition of a 20% participating interest in Oman's Block 61, one of the largest gas developments in the Middle East, from BP Exploration (Epsilon) Limited (“bp”). After the acquisition is completed, bp (the operator) will continue to hold a 40% participating interest, while other partners OQ (Oman's national oil company); PTTEP MENA Limited; and PC Oman Ventures Limited (a subsidiary of PETRONAS, Malaysia's national oil company), will hold 30%, 20% and 10% participating interests, respectively. The transaction, which signed on February 1, 2021 is subject to customary closing conditions and is expected to complete during 2021.
The consideration for the acquisition is US$2.450 billion, subject to final net working capital and other closing adjustments, plus up to an additional US$140 million subject to certain milestones being accomplished. The transaction will be funded by PTTEP's available cash.