Kuwait snaps up stake in Japan firm's Norwegian oil ops

  • Share via facebook
  • Tweet this
  • Bookmark and Share
(Photo for illustrative purposes only)

(Photo for illustrative purposes only)

Japan's AOC Holdings said on Thursday its upstream unit, Arabian Oil Co, has agreed to sell the entire stake in its Norwegian operations to Kuwait Foreign Petroleum Exploration Company (Kufpec).

The sale, whose value was not disclosed, will give the wholly-owned unit of state oil firm Kuwait Petroleum Company access to a 5 percent stake in the producing Gyda oil field and a 10 percent stake in the troubled Yme oil field, both in the North Sea off Norway.

AOC, which in February projected net loss of 7.7 billion yen ($79.10m) for the fiscal year ended in March, said it may post an additional loss of around 6 billion yen from the sale. The deal is likely to be finalised in June after Norwegian government approval, the company added.

AOC had been looking to sell its stake in the Yme field. It is also trying to find a buyer for a 50-percent stake in the Northwest October block in the Gulf of Suez in Egypt, which is unlikely to produce oil anytime soon.

The Japanese firm in December announced plans to effectively pull out of upstream oil and gas development by transferring its upstream business employees to JX Nippon Oil & Gas Exploration, which has been seeking to expand its business.

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Petroleum producers shift attention from Middle East: Kemp

Petroleum producers shift attention from Middle East: Kemp

Following four decades of war, sanctions, nationalisation and...

1
Back in business

Back in business

Iran’s tankers are back on the oceans as sanctions on the Islamic...

A new future for Saudi Arabia?

A new future for Saudi Arabia?

The vast Wadd Al Shimal phosphate mine in the north of Saudi...

Most Discussed