Exxon Mulls Malaysian Exit: Press

ExxonMobil is thinking about divesting its upstream assets off the coast of Malaysia, Bloomberg reported on October 9, citing sources that claimed the US major was looking to fetch $2-3bn from the sale.

Discussions are still at an early stage, the news agency reported, and Exxon could still decide against a divestment.

Exxon operates under four gas-focused production-sharing contracts (PSCs) in Malaysia, in partnership with national operator Petronas. These projects account for around one-half of gas supplies to the Peninsula Malaysia. They were flagged as a likely target for Exxon to divest by Wood Mackenzie earlier this week.

Exxon is on a $15bn divestment drive aimed at refocusing capital on its domestic operations and other high-margin projects. In late September it exited Norway and is reportedly considering divestments in the UK as well.