Exxon manages 35 oil and gas platforms across 12 fields offshore Terengganu. Credit: Mr.PK/Shutterstock.

ExxonMobil has revealed plans to transfer the operations of all assets under two production-sharing contracts (PSCs) in Malaysia to the national energy company Petronas, reported Reuters, citing a statement by the US energy company.  

This development follows a report that Exxon had agreed to sell its oil and gas assets in Malaysia, which the company has now clarified as a transfer of operations without any change to its working interest. 

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In a statement, ExxonMobil Exploration and Production Malaysia (EMEPMI) stated: “This is not a sale and there will be no changes to EMEPMI’s working interest in the Production Sharing Contracts.  

“This does not impact our other businesses in Malaysia – we remain committed to conducting business here as we have for more than 130 years.”  

Meanwhile, Petronas has confirmed that its subsidiary, Petronas Carigali, is in discussions with EMEPMI regarding the operational transfer. 

“The discussions are subject to further agreements between both parties,” Petronas told the news agency. 

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The transfer includes assets such as the Tapis oilfield, which has been in production since 1978, sources said.  

Details of the transfer, including staff reallocations, are being finalised, but the terms have not been disclosed. 

Citing Malaysian media, the report said that Exxon has been seeking to divest its older upstream assets in the country since 2020.  

Exxon manages 35 oil and gas platforms across 12 fields offshore Terengganu and holds a working interest in an additional ten platforms in five fields in the South China Sea. 

ExxonMobil’s combined operations in Malaysia account for around 15% of the nation’s crude oil and more than half of Peninsular Malaysia’s natural gas production. 

In other news, Exxon is preparing for extensive drilling activities in Guyana with plans to drill up to 30 wells at the Hammerhead project, which will become the company’s seventh oil project in the South American country.