Under the deal, TotalEnergies will hold, alongside Petronas through its wholly-owned subsidiary Petronas Carigali, a 50 percent operated working interest in Blocks SK301b and SK313, where significant gas discoveries (more than 4 Tcf) were made.
TotalEnergies said these discoveries are expected to be developed to support gas supply to Malaysia LNG from 2030.
Malaysia LNG, a unit of Petronas, operates the giant Bintulu LNG export plant with a capacity of about 29.3 mtpa.
TotalEnergies will also hold, alongside Petronas, interests in several exploration blocks offshore Malaysia.
In addition, the firms signed an agreement wherby TotalEnergies will acquire a 24.5 percent interest from Petronas in the Bobara block, offshore Indonesia, to carry out an exploration work program targeting oil prospects.
After completion, TotalEnergies will hold 24.5% working interest in the PSC, while Petronas will retain the remainder of the working interest and operatorship in the block.
TotalEnergies said the transaction remains subject to customary conditions, including regulatory approvals.
Following the SapuraOMV’s acquisition in December 2024, this transaction strengthens TotalEnergies’ position in South-East Asia with Malaysia as an anchor point, in partnership with Petronas.
“TotalEnergies has established itself as a significant gas producer in Malaysia. We are pleased to further expand our presence in the country, which we see as a strategic platform for our future low-cost, low-carbon production and cash-flow growth, underpinned by the exposure to Asian LNG market,” said Patrick Pouyanné, chairman and CEO of TotalEnergies.
“TotalEnergies and Petronas’ strategic collaboration, which extends well beyond Malaysia through our multiple joint ventures worldwide, enables us to access a large and diverse portfolio in the country, spanning from exploration to production,” he said.
