Jadestone, OMV Take More Time to Wrap Maari Field Transaction

Bartolomej Tomic
Friday, September 25, 2020

Oil and gas company Jadestone Energy and OMV have agreed to extend the long-stop date for the completion of Jadestone's acquisition of OMV's stake in the Maari project, in the shallow waters offshore New Zealand.

Singapore-based Jadestone in November 2019 agreed to buy OMV's 69% operated interest in the Maari Project for $50 million.

The Maari project includes the producing Maari and Manaia oil fields, located within PMP 38160, in the offshore Taranaki Basin, in a water depth of around100 meters.

 As of November 2019, oil production was approximately 4,000 – 4,500 bbls/d, produced via a self-elevated jack-up wellhead platform, and the Raroa FPSO. The project has been producing since 2009, achieving peak production of 16,400 bbls/d in 2010.

Extension of long-stop date

Jadestone last year said it expected to complete the transaction in the second half of 2020. However, the two companies have now given themselves more time, citing the potential effect of New Zealand general election on the timing of the regulatory approval for the transaction.

In a statement on Friday, Jadestone said that OMV and the company had made substantial progress toward satisfying the acquisition's closing conditions, including obtaining the majority of third party consents. 

However, as a precautionary measure in acknowledgment of the remaining closing condition, being final New Zealand Government regulatory approval, and amidst the New Zealand 2020 general election, Jadestone and OMV have agreed to revise the long stop date from November 15, 2020, to January 31, 2021. 

"Both parties remain fully committed to the transaction and the company continues to anticipate closing the acquisition by the end of 2020." Jadestone said.

Jadestone said it planned to establish New Zealand as an extension to its Australia core area, seeing the Maari Project "as a natural fit with its strategy to acquire and reinvest into mid-life producing assets."

The Maari fields are scheduled to produce until 2031, however, the Jadestone management team has said that it believes there is substantial potential for reserves upside not yet captured in the 2P reserves.

OMV New Zealand operates the Maari field with a 69% share. Horizon Oil International (26%) and Cue Taranaki (5%) are partners in the field.

Categories: Mergers & Acquisitions FPSO Australia/NZ Shallow Water

Related Stories

India Stretches Bids Deadline for 13 Offshore Deep-Sea Mineral Blocks

CNOOC Sees 11% Profit Growth in 2024 Driven by Record Oil Production

Jadestone Submits Field Development Plan for Assets Off Vietnam

Woodside Inks Long-Term LNG Supply Deal with China Resources

Sapura Energy Nets $720M from Multiple Drilling Services Contracts

Tokyo Gas Enters LNG Market in Philippines

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

Japan's Mitsui Eyes Alaska LNG Project

Santos Hires Weststar-GAP for Timor-Leste Offshore Helicopter Services

European LNG Imports Up with Asian Influx

Current News

Shell-Reliance-ONGC JV Complete India’s First Offshore Decom Project

The Future of Long-Idle Drillships: Cold-Stacked or Dead-Stacked?

TMC Books Compressors Orders for FPSO and LNG Vessels

MODEC, Sumitomo Partner Up for Delivery of Gato do Mato FPSO

Chuditch Gas Field Up for Summer Drilling Ops as Sunda Reshapes Ownership Structure

EnQuest Bags Two Production Sharing Contracts off Indonesia

Hanwha Drilling’s Tidal Action Drillship En Route to Petrobras’ Roncador Field

China's ENN, Zhenhua Oil Ink LNG Supply Deals with ADNOC

MODEC Wins ExxonMobil Guyana’s Hammerhead FPSO Contract

India Stretches Bids Deadline for 13 Offshore Deep-Sea Mineral Blocks

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