By Christie U. Omonigho
- Asia with Malaysia is an anchor point.
TotalEnergies has also announced the acquisition from Malaysia’s PETRONAS of interests in multiple blocks offshore Malaysia and in one block offshore Indonesia where, according to the French major, exploration, appraisal and development programs will be progressed. Adding that the licenses which are all in different maturation stages, cover more than 100,000 km2.
Energy Window International (Media) gathered that TotalEnergies will hold, alongside PETRONAS through its wholly-owned subsidiary Petronas Carigali Sdn Bhd, a 50% operated working interest in Blocks SK301b and SK313, where significant gas discoveries of more than 4 Tcf according to the French major were made, and are expected to be developed to support gas supply to Malaysia LNG from 2030. The Company will also hold, alongside PETRONAS, interests in several exploration blocks offshore Malaysia, but this transaction TotalEnergies says, is still subject to customary conditions, including regulatory approvals.
With this acquisition, as well as the acquisition of SapuraOMV in December 2024, TotalEnergies says it’s now properly positioned in South-East Asia with Malaysia as an anchor point, having consolidated its partnership with PETRONAS.
According to the statement, Patrick Pouyanné, Chairman and CEO of TotalEnergies and Tan Sri Tengku Muhammad Taufik, President and Group CEO of PETRONAS had also signed a strategic cooperation agreement to deepen their partnership in exploration and production businesses globally while continuing in their restrategizing towards building on the successful and long-standing collaboration between the two companies in the upstream business across several countries.
Patrick Pouyanné said: “TotalEnergies has established itself as a significant gas producer in Malaysia. We are pleased to further expand our presence in the country, which we see as a strategic platform for our future low-cost, low-carbon production and cash-flow growth, underpinned by the exposure to Asian LNG market. TotalEnergies and PETRONAS’ strategic collaboration, which extends well beyond Malaysia through our multiple joint ventures worldwide, enables us to access a large and diverse portfolio in the country, spanning from exploration to production.”
“For a long time, PETRONAS and TotalEnergies have demonstrated how complementary strengths can unlock new opportunities. Today’s signing marks another significant step forward in our shared commitment to responsible growth and long-term value creation. Together, we will pursue and develop advantaged barrels across Malaysia’s and Indonesia’s frontier emerging exploration blocks. Our focus is on maximising high commercial potential while delivering sustainable value for all stakeholders”, says Tan Sri Tengku Taufik, PETRONAS President and Group Chief Executive Officer.
Energy Window International (Media) equally gathered that the French oil major has signed an agreement to acquire a 24.5% interest from PETRONAS in the Bobara block, offshore Indonesia, to carry out an exploration work program targeting oil prospects with TotalEnergies to hold 24.5% working interest in the Production Sharing Contract upon completion while PETRONAS retains the balance of the working interest and operatorship in the block.
TotalEnergies says it has been operating in Malaysia since 1985, and has been a long-standing partner of the national oil company PETRONAS. With the completion of the acquisition of SapuraOMV Upstream, TotalEnergies says it is currently the 3rd largest gas operator in the country, employing about 300 people and holding operated interests of 40% in block SK408 and 30% in block SK310, as well as a 40% interest in block SB412. “These interests round out our existing portfolio of 34.9% in both blocks SB-2K and SB-N and 85% in block 2E (Marjoram).” TotalEnergies says it also has its affiliates which are mainly in charge of marketing its petroleum products. It recalled that in 2023, it signed a deal with PETRONAS and Mitsui to develop a CO2 storage project in Southeast Asia while assessing several potential sites in the Malay Basin.