Santos sheds last Victorian gas asset

Australia’s Santos has shed the last of its Victorian gas assets after the completion of the 10 percent interest sale in the Minerva gas field to compatriot Cooper Energy.

To remind, Santos agreed to sell its Victorian assets to Cooper Energy for cash consideration of up to A$82 million ($61.4 million in current exchange rate) in October 2016.

The sale included a 50 percent interest in the Casino-Henry (VIC/L30, VIC/L24) gas project in the Otway Basin; 50 percent interest in the Sole gas field (VIC/RL3) in the Gippsland Basin and the Orbost gas plant; and 10 percent interest in the Minerva gas field (VIC/L22) in the Otway Basin and gas plant.

The deal also included acreage prospective for gas in the offshore Otway Basin, Victoria, including VIC/P44, VIC/RL11 and /RL12, and a 100 percent interest in the Patricia-Baleen gas field and associated infrastructure in the offshore Gippsland Basin.

The sale of all the listed assets, except for the Minerva gas field and gas plant stake, was completed this January.

It is worth mentioning that, before the sale agreement with Cooper, Santos sold its 35 percent non-operated interest in the Kipper gas field, offshore Victoria, to Mitsui E&P Australia for A$520 million in cash.

According to Cooper’s statement from Monday, the acquisition of the 10% interest in the Minerva gas project, announced back in October 2016, is now completed.

Cooper added that the Minerva stake was bought from Santos for a cash consideration of $0.9 million.

As a result of the acquisition, Cooper Energy will hold a 10% interest in VIC/L22 in the Otway Basin which holds the producing Minerva gas field and a 10% interest in the Minerva onshore gas plant, effective from January 1, 2017.

With the Minerva acquisition completed and the stake transferred to Cooper, Santos has ultimately rid itself of all Victorian gas assets.

Offshore Energy Today Staff

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