Longboat Energy, an emerging full-cycle E&P company active in Norway and Malaysia, is pleased today announced the completion of the acquisition of privately held Topaz Number One Limited ("Topaz"), thereby increasing its working interest in the Production Sharing Contract over Block 2A offshore Sarawak, Malaysia ("Block 2A") to 52.5%.

Longboat now holds an operated 52.5% interest in Block 2A, offshore Sarawak Malaysia, containing the giant 'Kertang' prospect, simplifying the process towards a positive well decision and the potential introduction of an additional funding partner prior to drilling.

Having worked closely with Topaz and its owners over the past twelve months on Block 2A and other acquisition opportunities, Longboat made the decision to accelerate the building of a full-cycle E&P business in SE Asia through the acquisition of Topaz and the addition of James Menzies and Pierre Eliet to the Company's management team as Executive Chairman SE Asia and Director SE Asia respectively.

Helge Hammer, Chief Executive of Longboat Energy, commented:
"We are pleased to have completed the corporate acquisition of Topaz, which increases our interest in a large exploration block in a region that has seen considerable exploration success recently. Petronas announced that they have recorded 19 exploration discoveries, 13 of which were made offshore Sarawak, and two exploration-appraisal successes, contributing over 1 billion barrels of oil equivalent to new resources for Malaysia in 2023. Clearly, we are in the right address. 

The Longboat team has extensive experience and network in SE Asia, which combined with our in-house technical expertise, puts us in a strong position to deliver accelerated growth in the region."

Background

In February 2023, Longboat announced it had been awarded a 36.75% operated interest in a Production Sharing Contract for Block 2A alongside partners Petronas Carigali Sdn. Bhd (40%), Petroleum Sarawak Exploration & Production Sdn. Bhd. (7.5%) and Topaz Number One Limited (15.75%).

Block 2A is located offshore Sarawak, north-west of the prolific Central Luconia hydrocarbon province covering approx. 12,000km2 in water depths between 100 - 1,400 metres. One of the world's largest LNG facilities, the Bintulu LNG plant, is located onshore on the coast of Sarawak.

The main prospect on Block 2A is a large anticlinal structure called Kertang with a closure of over 100km2 at multiple levels and significant volume potential representing multiple trillions of cubic feet (TCF) of gas in stacked reservoirs. Seismic indicators for the presence of gas can be observed in the area and over the crest of the prospect.

At the same time, the Company indicated its belief that establishing a presence in the region would open-up further acquisition opportunities.

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