KrisEnergy, Profab Ink Platform Deal for Cambodia's First Oil Development
November 13 2019 - 1:10AM
Dow Jones News
By Justina Lee
Upstream oil-and-gas company KrisEnergy Ltd. (SK3.SG) said
Wednesday that it had signed a deal with Profab Indonesia to build
a wellhead platform for the Apsara offshore oil field, Cambodia's
first oil development.
Profab, a subsidiary of Houston-based National Oilwell Varco
(NOV), will build the platform at its facility in Batam, Indonesia,
KrisEnergy said in a press release. It didn't disclose financial
details of the deal.
The Apsara oil field is Cambodia's maiden oil development and
lies in the Khmer Basin, an unproduced reserve in Cambodian waters
of the Gulf of Thailand. Production will begin in the first half of
2020 and is expected to eventually yield as much as 7,500 barrels
of oil a day, KrisEnergy said.
Cambodia has sought for years to develop the Apsara deposit.
U.S. oil major Chevron Corp. (CVX) discovered oil and gas reserves
at Apsara in 2004, but exited the Southeast Asian nation a decade
later without moving to the production stage. It sold interests in
the field to KrisEnergy.
The news comes as cash-strapped KrisEnergy has been working on
plans to restructure hundreds of millions of dollars in debt and
this week faces the end of a three-month period of court protection
from creditors.
KrisEnergy recently sold off an interest in an Indonesian
offshore project and said it intends to focus its financial
resources on improving operations at fields in Bangladesh and the
Gulf of Thailand while also developing the Cambodian project.
Shares of KrisEnergy haven't traded since August.
Write to Justina Lee at justina.lee@wsj.com
(END) Dow Jones Newswires
November 13, 2019 00:55 ET (05:55 GMT)
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