The company is working with an adviser on the potential sale of Malaysian assets, which could raise about $2 billion to $3 billion.
Thursday 10, October 2019
Exxon Mobil is considering a sale of its Malaysian upstream offshore assets as the US energy giant continues with its divestiture programme, reported Bloomberg.
The US energy giant has started sounding out potential buyers, although sale considerations are at a preliminary stage and the company could still decide against a transaction. Potential bidders for the assets could include other major energy companies with an interest in the region.
A sale would follow Exxon’s sale of its $4.5 billion Norwegian assets last month, which is part of the company’s divestment plan designed to help fund one of the biggest corporate turnarounds in its history after years of stagnating production and a stock price that has underperformed rivals.
In Asia, Exxon is expected to exit projects worth a combined $5 billion in Vietnam, Indonesia, Thailand as well as Australia and Malaysia as part of its asset sales programme.
Exxon produces oil and gas in Malaysia under four production sharing contracts with the state-owned Petroliam Nasional.