Total Sells 4% of Ichthys to Inpex for $1.6 Bln

Thursday, December 13, 2018

French energy company Total said it has agreed to sell a 4 percent stake in its Australian Ichthys liquefied natural gas (LNG) project to Japanese partner Inpex for $1.6 billion, following cost overruns.

"This transaction is part of our constant portfolio review to optimize our capital allocation," Arnaud Breuillac, president of exploration and production at Total, said in a statement on Thursday. "Ichthys is part of a wave of Australian LNG projects, which have unfortunately experienced major cost overruns and delays during their construction phase."

Breuillac, nevertheless, said Total remained committed to the Ichthys project and the French company would be holding on to its remaining 26 percent stake in Ichthys.

Inpex has a majority stake of around 66 percent in the $40 billion project in northwestern Australia, which has seen multiple delays and significant cost overruns due to technical problems.

The project's other minority shareholders include CPC, Tokyo Gas, Osaka Gas, Kansai Electric, JERA Corp and Toho Gas.

At full operational capacity, Ichthys is expected to produce 8.9 million tonnes of LNG a year, along with about 1.7 million tonnes of LPG and about 100,000 barrels per day of condensate, an ultra-light form of crude oil.


(Reporting by Sudip Kar-Gupta; Editing by Susan Fenton)

Categories: Energy LNG Offshore Energy Industry News Australia/NZ

Related Stories

Argentina YPF to Shed Offshore Exploration Projects

CNOOC Discovers ‘Vast Exploration Prospects’ in China’s Beibu Gulf Basin

Sapura Energy Nets $720M from Multiple Drilling Services Contracts

Shell Predicts 60% Rise in LNG Demand by 2040 with Asia Leading the Way

McDermott Concludes Work at PTTEP’s Kikeh Gas Field Off Malaysia

Petronas Preps for Sabah-Sarawak Gas Pipeline Decom Op

Saipem’s Castorone Vessel on Its Way to Türkiye’s Largest Gas Field

OPEC+ Passes on Oil Output Increase, Weighs the "Trump Effect"

Sembcorp Signs 10-Year LNG Supply Contract with Chevron

Sapura Scoops Petrobras Contract for Pan-Malaysia Offshore Services

Current News

Argentina YPF to Shed Offshore Exploration Projects

Cairn India Might Invest in US Oil Servicing Firms to Increase Production

All Gas from Conrad’s Mako Field to be Sold to Indonesia’s PLN

ORE Catapult and Japan’s FLOWRA to Jointly Advance Floating Wind

Shell Hires Noble’s Drillship for Work in Southeast Asia

Second Hai Long Substation Heads to Project Site Offshore Taiwan

Shell Launches Next Phase of Malaysia's Deepwater Project with First Oil Production

CNOOC Discovers ‘Vast Exploration Prospects’ in China’s Beibu Gulf Basin

China Unveils Plans for New Offshore Wind Farms to Tackle Carbon Emissions

Japan and South Korea Look to Partner Up with US for Alaska Pipeline

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com