Inpex to Acquire Oil, Gas Blocks Offshore Malaysia

Inpex has received approval by Petronas to acquire a 75% participating interest in the deepwater Block S and a 37.5% participating interest in the deepwater Block R through its subsidiaries, Inpex said in a statement Tuesday.

These blocks are located offshore Sabah, Malysia.

Block S lies 120 km (74.4 miles) northwest of Kota Kinabalu on Borneo Island, covering an area of 574 sq km in the Sabah basin. Large reserves of oil and natural gas have already been discovered in the Sabah basin.

Inpex Offshore North West Sabah, a subsidiary of Inpex, will become the operator with a 75% participating interest, and conduct exploration activities in Block S. A subsidiary of Petronas will hold the remaining 25% interest.

Block R lies 180 km west of Kota Kinabalu, and covers an area of 672 sq km. JX Nippon Oil & Gas Exploration will be the operator of Block R, assuming a 37.5% interest in the block.

Inpex Offshore South West Sabah, another subsidiary of Inpex, will hold a 37.5% interest, while a subsidiary of Petronas will hold the remaining 25% interest in Block R.