2010-03-10-2010-01-07

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Estimated Price
$98.6MM
Description

To acquire 25% WI in Kambuna gas field & 24.6% in Kutai PSC in Indonesia, 33.33% in Block 06/94 in Vietnam.

Singapore-based KrisEnergy Ltd. plans to acquire interests in Southeast Asia from Serica Energy Plc (Toronto Venture, London AIM: SQZ) for $98.6 million in cash.

The assets include a 25% interest in the Kambuna gas field in Indonesia, a 24.6% interest in the Kutai production sharing contract in Indonesia and a 33.33% interest in the Block 06/94 PSC in Vietnam.

Pro forma the transaction, Serica's interests in Indonesia will comprise a 25% interest in Kambuna Field, a 30% interest in the Kutai PSC and a 100% interest in the East Seruway PSC. The company will no longer hold any interests in Vietnam. Serica says the divestments will allow it to focus its resources on its 2010 exploration program and potential acquisitions.

Serica chief executive Paul Ellis says, "I am delighted that we were able to reach this agreement with KrisEnergy since this provides Serica with capital to invest in our core growth areas into 2010. Having recently brought the Kambuna Field into production we believe that this is the best time to monetize part of that asset."

JPMorgan Cazenove is financial advisor to Serica.