PARIS, FRANCE: TotalEnergies, a French energy giant, has agreed to acquire a 50% stake in SapuraOMV, a Malaysian gas producer and operator, for $903 million. The deal includes the transfer of a $350 million loan from OMV, an Austrian oil and gas company, to SapuraOMV.

The acquisition will give TotalEnergies access to SapuraOMV’s main assets in offshore Sarawak, where it operates two gas blocks that supply the Bintulu LNG plant. SapuraOMV also has exploration licenses in Malaysia, Australia, New Zealand and Mexico.

The deal is subject to regulatory approvals and is expected to close by mid-2024. TotalEnergies said the transaction is part of its strategy to grow its low-carbon gas portfolio in the Asia-Pacific region.

“We are pleased to strengthen TotalEnergies’ position in Malaysia by becoming shareholder of the independent gas producer SapuraOMV. Over the past few years, we have developed a strategic international partnership with Petronas, the national company of Malaysia.

This transaction will anchor our future growth in the country and reinforce our partnership with Petronas. With their low production costs and low GHG intensity, SapuraOMV’s assets will perfectly fit in TotalEnergies’ portfolio and participate in meeting the growing demand of gas in Asia”, said Patrick Pouyanné, Chairman and CEO of TotalEnergies.