ConocoPhillips pre-empts Origin’s APLNG stake sale

  • Date: 09-Dec-2021
  • Source: Argus Media
  • Sector:Oil & Gas
  • Country:Gulf
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ConocoPhillips pre-empts Origin’s APLNG stake sale

Sydney, 9 December (Argus) — ConocoPhillips has exercised its pre-emptive right to acquire the 10pc stake in the 9mn t/yr Australia Pacific LNG (APLNG) that its upstream operator Australian independent Origin Energy had intended to sell to US energy investment firm EIG Global Energy Partners for $2.12bn.

Chinese state-controlled oil firm Sinopec, the third shareholder in APLNG, has until 17 December to exercise its pre-emptive right to acquire its share of the stake Origin is selling in the largest of the three LNG projects located at Australia's Gladstone port in Queensland.

Should Sinopec not exercise its pre-emptive right then ConocoPhillips will acquire all of the 10pc stake, lifting its overall holding to 47.5pc in the venture where it is the downstream operator. This will reduce Origin's stake to 27.5pc and Sinopec will remain at 25pc. Sinopec is also the largest offtaker with sales and purchase agreements of 7.6mn t/yr with the APLNG partners.