Jadestone snaps up Sapura's Malaysian assets
Southeast Asia-focused Jadestone Energy signed an agreement to acquired SapuraOMV Upstream's assets in Peninsular Malaysia for $9mn in cash, it said on April 30.
The company will acquire interests in four licences, two of which will be operated by Jadestone. These include a 70% operated interest in the PM329 production sharing contract (PSC), containing the East Piatu field, and a 60% operated interest in the PM323 PSC, which contains the East Belumut, West Belumut and Chermingat fields. Jadestone estimates accessing 12.5mn barrels oil equivalent of net working interest 2P reserves. All fields are in production.
In addition, the assets include a 50% non-operated working interest in the PM318 and AAKBNLP PSCs, which are operated by Malaysian state-run Petronas.
Jadestone said it envisages scope to add incremental value in the near term through both reservoir optimisation and production enhancement activities across both operated licences. Gas re-injection is expected to be a key part of reservoir optimisation, while production enhancement will initially be focused on restoring idle wells to production, it said.
“There is also significant potential for further incremental development activities on the assets. The focus will initially be on infill drilling in the East Belumut field, where Jadestone sees the potential for several infill campaigns over the next few years,” it said.