Taiwan's CPC gets Australian approval for Carnarvon deal

Taiwan's CPC Corporation announced on August 16 that it has received approval from Australian authorities for its acquisition of a 10% stake in Carnarvon Energy’s Bedout assets located offshore Western Australia.

The deal, initially announced in February, was finalised by CPC Corporation's subsidiary, OPIC Australia, and Carnarvon on August 16. The transaction involves a cash consideration of $146mn. This includes an upfront payment of $56mn upon completion of the deal. Additionally, Carnarvon is set to receive a carry of $90mn to cover its future expenditures in the Bedout permits once a final investment decision is made for the Dorado development.

Carnarvon Energy's Bedout assets encompass the WA-64-L production license, which includes the Dorado field, as well as several exploration permits. The sale of the 10% interest to CPC will lead to a proportional decrease in Carnarvon's ownership across all these assets.

CPC Corp stated that it has been actively expanding its domestic and foreign oil and gas exploration and production business over the years. The company believes that participating in the development of the Dorado project and its adjacent exploration plans will not only increase its own oil sources but also enhance the stability of the country's energy supply capacity.