Petronas confirms deal to buy interest in 2 offshore Brazil blocks
BY ABHRAJIT GANGOPADHYAY
KUALA LUMPUR -- Petronas said it has agreed to buy 40% interest in two offshore blocks in Brazil from OGX for a total $850 million.
The announcement confirms recent speculation on Petronas's likely purchase of OGX's interest in the two offshore blocks in Brazil's Campos Basin.
The acquisition will allow Petronas to tap into Brazil's rich hydrocarbon reserve for the first time. Brazil is estimated to hold oil reserves at about 145 bbl, Petronas said.
The proposed purchase underscores Petronas's growing ambition to secure energy assets overseas as local demand is poised to outstrip supply in a few years and output from some of its maturing wells are dwindling.
Last year, Petronas bought Progress Energy for $5.16 billion.
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