Hibiscus gets Vietnam approvals for Repsol acquisition

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Malaysia’s Hibiscus Petroleum has received the joint approval from Petronas and PetroVietnam to take control of Repsol’s interests in the Block PM3 CAA production sharing contract (PSC) and unitisation agreement of the East Bunga Kekwa – Cai Nuoc field under Block 46 PSC.

People waving Vietnam flags. Shutterstock.

Hibiscus struck a deal with Repsol on 1 June 2021 to buy Repsol’s operated assets in Malaysia and Block 46 CN in Vietnam for $212.5 million.

The deal includes a 35% interest in production-sharing contract (PSC) PM3 CAA, 60% in 2012 Kinabalu Oil PSC, 60% in PM305 PSC, 60 % in PM314 PSC, and 70% in Block 46 CN in Vietnam – a tie-back asset to the PM3 CAA production facilities. The PM3 block is located within a commercial arrangement area (CAA) set up between Malaysia and Vietnam to allow exploration and the development of several oil and gas discoveries.

“Following receipt of the joint approval, Repsol and Peninsula Hibiscus have also confirmed the fulfilment of all conditions precedent under the sale and purchase agreement dated 1 June 2021 and that the parties will now proceed to completion of the transaction accordingly,” Hibiscus said yesterday.

“Hibiscus Petroleum will make an announcement once the proposed acquisition has been completed,” added the company.

Hibiscus Petroleum is Malaysia’s first listed independent oil and gas exploration and production company. Its focus is Malaysia, UK, and Australia.