Thailand’s PTT Exploration plans to increase its stake in oil block in Mozambique

22 February 2013

Thai state group PTT Exploration is interested in acquiring a greater stake than the 8.5 percent it owns in the Area 1 block in the Rovuma basin in northern Mozambique, the company’s chief executive, Tevin Vongvanich said.

The Mozambican oil block in question is operated by US oil group Anadarko Petroleum, which has a stake of 36.5 percent, and the remaining partners are Japan’s Mitsui & Co., with 20 percent, India’s Bharat Petroleum Corporation Limited and Videocon, with 10 percent each, Mozambique’s ENH has 15 percent and Thailand’s PTT, which owns 8.5 percent.

Noting that the group had first choice if remaining shareholders wanted to sell off their stakes, the PTT CEO noted that Indian group Videocon Industries planned to sell its position and the operator itself, Anadarko Petroleum, also plans to sell its stake.

Last year PTT Exploration paid US$1.9 billion for Ireland’s Cove Energy, which owned an 8.5 percent stake in the Mozambican block, as part of an aggressive strategy to acquire oil assets overseas due to a drop in domestic production. (macauhub)