EnQuest to acquire Malaysia offshore interests in $833 million deal
(WO) — EnQuest has agreed to acquire interests in four offshore production-sharing contracts (PSCs) in Malaysia for up to $833 million, a transaction that will significantly expand the company's production, reserves and presence in Southeast Asia.
The acquisitions will be completed through three separate farm-out agreements with PETRONAS Carigali and E&P Malaysia Venture and are expected to close by the end of 2026, subject to regulatory approvals and customary closing conditions.
Under the terms of the deal, EnQuest will pay approximately $554 million upon closing, with additional contingent payments tied to future development activities.
The acquired interests are expected to add approximately 57,400 boed of production, increasing EnQuest's total production to more than 100,000 boed based on 2025 volumes. Following completion, Southeast Asia is expected to account for approximately 69% of company production, with the UK North Sea contributing the remainder.
The transaction also adds 138 MMboe of 2P reserves, increasing EnQuest's total reserve base by approximately 85% to around 300 MMboe. The assets also include more than 208 MMboe of contingent resources and additional upside through recovery factor enhancement opportunities.
EnQuest said the acquisition strengthens its position in Malaysia, where the company has built a strong operating presence and was named Operator of the Year by PETRONAS in both 2024 and 2025.
“With these proposed acquisitions, we are taking a decisive step in the evolution of our business,” said EnQuest CEO Amjad Bseisu. “It reflects our clear focus on building a larger, more diversified portfolio, while maintaining our discipline in pursuing opportunities that enhance value, strengthen cash generation and support long-term shareholder returns.”
Approximately 96% of the acquired reserves will be operated by EnQuest, providing the company with significant control over future development activities.
The acquisition represents one of the largest transactions in EnQuest's history and marks a major expansion of its Southeast Asia business as the company pursues growth through a combination of operational performance, reserve additions and strategic acquisitions.
