ConocoPhillips sells holdings in Australia

ConocoPhillips announced Monday the $1.39 billion sale of its subsidiaries that hold assets and operations in Australia-West to Santos, a leading independent oil and gas producer in the Asia-Pacific region.

The subsidiaries hold the company’s 37.5 percent interest in the Barossa project and the Caldita Field, its 56.9 percent interest in the Darwin LNG facility and Bahu-Undan Field, its 40 percent interest in the Poseidon Field and its 50 percent interest in the Athena Field.

ConocoPhillips will keep at 37.5 percent interest in the Australia Pacific LNG project and operatorship of the project’s LNG facility.

Matt Fox, executive vice president and chief operating officer said the transaction will allow ConocoPhillips to allocate capital to other projects that will generate the “highest long-term value” to the company.

Production associated with the assets being sold was approximately 50 thousand barrels of oil equivalent per day (MBOED) for the first half of 2019 and proved reserves were approximately 39 million barrels of oil equivalent (BOE) at year-end 2018.

The effective date for the transaction will be Jan. 1, 2019.