Talisman Energy Inc. announced that one of its subsidiaries has acquired all the shares of CNOOC Wiriagar Overseas Limited from a subsidiary of CNOOC Ltd. for a consideration of US$212.5 million. CNOOC Wiriagar Overseas Limited holds a 3.06% interest in the Tangguh LNG Project. The equity transfer became effective at 12:00 am, Beijing time, on January 1, 2008.
The Tangguh LNG Project, located in West Papua, Indonesia, consists of a number of offshore gas wells, production facilities, pipelines and LNG plant facilities with a nameplate capacity of 7.6 million tons per year. First LNG is expected in late 2008.
"I am pleased with this settlement," said John Manzoni, President and Chief Executive Officer of Talisman. "The purchase marks the end of a longstanding contractual disagreement inherited by both parties. I look forward to further developing our business in the region and building on our relationship with CNOOC Ltd."