Kuwait group to buy Japan's AOC upstream unit
Tokyo, May 2, 2013
Japan's AOC Holdings said on Thursday its upstream unit, Arabian Oil Company, has agreed to sell the entire stake in its Norwegian operations to Kuwait Foreign Petroleum Exploration Company (Kufpec).
The sale, whose value was not disclosed, will give the wholly-owned unit of state oil firm Kuwait Petroleum Company access to a 5 per cent stake in the producing Gyda oil field and a 10 per cent stake in the troubled Yme oil field, both in the North Sea off Norway.
AOC, which in February projected net loss of 7.7 billion yen ($79.10 million) for the fiscal year ended in March, said it may post an additional loss of around 6 billion yen from the sale. The deal is likely to be finalised in June after Norwegian government approval, the company added.
AOC had been looking to sell its stake in the Yme field. It is also trying to find a buyer for a 50-per cent stake in the Northwest October block in the Gulf of Suez in Egypt, which is unlikely to produce oil anytime soon.
The Japanese firm in December announced plans to effectively pull out of upstream oil and gas development by transferring its upstream business employees to JX Nippon Oil & Gas Exploration, which has been seeking to expand its business.-Reuters
More Energy, Oil & Gas Stories
- Egypt/Saudi grid tenders to be launched in 2014
- Scottish oilfield firm expands in Mideast
- Global oil demand growth 'gaining momentum'
- Taqa targets $20m saving with HQ restructure
- Total seals Oman deepwater drilling deal
- Egypt in gas price talks with foreign firms
- Exxon offers rare Saudi gasoil term contract
- 40 Chinese firms to exhibit at energy summit
- More refinery closures on the cards for 2014: IEA
- Libya’s eastern oil ports likely to reopen Sunday