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Santos buys into Malaysian oil block

1/09/2014 by


Japan’s Inpex Corp today said it has agreed to sell a 25% stake in the deep water Block S in offshore Malaysia to Australian oil and gas producer Santos Ltd.

Japan’s biggest oil and gas producer, which will reduce its stake in the block to 50% after the transfer, serves as the operator in the block located in eastern Malaysia. An Inpex spokeswoman declined to comment on the price.

Inpex has conducted a three-dimensional seismic survey and geological studies in Block S, and depending on the result, it plans to drill wildcat wells this year for new discovery of oil and natural gas deposits, the company said in a statement.

Petronas Carigali also has a 25% stake in the block.

Inpex and Santos are partners in several exploration projects next to the Ichthys liquefied natural gas project in Australia.

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