By OGJ editors
HOUSTON, July 22 -- Oil Search Ltd., Port Moresby, said it will acquire Chevron Niugini Ltd. (CNL), the indirect, wholly owned affiliate of ChevronTexaco Corp., and all of the major's assets in Papua New Guinea, for $96.6 million.
The deal includes ChevronTexaco's oil and gas interests in the Kutubu, Moran, Gobe Main, and South East Gobe oil fields in Papua New Guinea. More specifically, the assets to be acquired include interests in Petroleum Development License 2, Petroleum Prospecting Licence 219 (25%), Petroleum Retention License 2 (21.5%), Petroleum Retention License 3 (25%), Pipeline License 2 (19.375%), Pipeline License 3 (13.65938%) and other infrastructure assets in Papua New Guinea.
ChevronTexaco's decision to sever its Papua New Guinea business unit was "a result of the company's ongoing review of its global portfolio," said ChevronTexaco vice-chairman Peter Robertson, adding that the assets no longer fit the company's future strategy.
The sale, which is subject to Papua New Guinea government approvals, is expected to close in the fourth quarter.
