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

PTTEP Hires Velesto’s Jack-Up Rig for Drilling Campaign off Malaysia

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Japan Protests China’s New Oil and Gas Construction Activities in East China Sea

Japanese Oil and Gas Firm Enters Two Blocks off Malaysia

Woodside Agrees Long-Term LNG Supply with Petronas Unit

MODEC and Terra Drone Renew FPSO Drone Inspection Partnership

Chuditch Gas Field Drilling Ops Get Delayed to Next Year

ABL Lands Work on BP’s Indonesian Gas and CCUS Project

CDWE Wraps Up Pin Pile Installation Job for Taiwanese Offshore Wind Farm

Scarborough FPU's Topsides and Hull Come Together in Major Engineering Feat (Video)

Current News

PTTEP Hires Velesto’s Jack-Up Rig for Drilling Campaign off Malaysia

Yinson Production Secures $1.17B Refinancing for FPSO Maria Quitéria

Centrica and Thailand’s PTT Ink Long-Term LNG Supply Deal

Petrovietnam, Partners Sign PSC for Block Off Vietnam

Japan Protests China’s New Oil and Gas Construction Activities in East China Sea

CNOOC Signs Hydrocarbons Exploration and Production Deal with Kazakhstan

Thailand's PTT to Buy LNG from Glenfarne's Alaska LNG Project

Woodside and Jera Agree LNG Cargoes Supply for Japan’s Winter Period

Petronas Expands Suriname Portfolio with Deepwater Block Acquisition

Japanese Oil and Gas Firm Enters Two Blocks off Malaysia

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