(Jan 31): TotalEnergies SE agreed to buy OMV AG’s stake in an independent Malaysian natural gas producer for US$903 million (RM4.2 billion), increasing the French energy giant’s presence in Southeast Asia.

SapuraOMV, headquartered in Kuala Lumpur, is a joint venture between Sapura Energy Berhad and OMV. It has production and development assets in shallow waters off Malaysia, as well as exploration interests in Mexico, Australia and New Zealand.

SapuraOMV’s operated production in 2023 was about 500 million cubic feet per day of natural gas, feeding the Bintulu LNG plant operated by Petronas, as well as 7,000 barrels per day of condensates, TotalEnergies said in a statement Wednesday.

“With their low production costs and low greenhouse gas intensity, SapuraOMV’s assets will perfectly fit in TotalEnergies’ portfolio and participate in meeting the growing demand of gas in Asia,” chief executive officer Patrick Pouyanne said in the statement.

The planned acquisition of 50% in SapuraOMV should be completed by the end of the first half of this year, according to the French company.

The Austrian firm said separately that the sales process for all of OMV New Zealand Ltd is continuing.