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To buy Ethiopia assets held by Petronas Carigali, gaining five contracts covering Blocks 3&4, 11&15, 12&16, 17&20 and the Calub and Hilala contract area.

Addis Ababa, Ethiopia-based SouthWest Energy (H.K.) Ltd. plans to acquire of the oil and gas interests in Ethiopia held by Petronas Carigali Overseas Sdn Bhd, a subsidiary of Kuala Lumpur, Malaysia-based Petronas for an undisclosed price.

Petronas Carigali's assets include five petroleum production-sharing agreements for oil and gas exploration and production in Ethiopia, which include Blocks 3&4, 11&15, 12&16, 17&20 and the Calub and Hilala contract area. All of the blocks and contract areas are southeast of Addis Ababa, in the Ogaden Basin, which covers 350,000 square kilometers.

SouthWest Energy chairman and chief executive Tewodros Ashenafi says "This is a fantastic opportunity for SouthWest Energy to expand its exploration and production activities in Ethiopia. This transaction will transform SouthWest Energy into the leading force in the Ethiopian upstream industry. We intend to develop these new blocks together with our existing blocks as quickly as possible and to work on developing transport solutions for hydrocarbons in the Ogaden Basin."

Standard Bank Plc is financial advisor to SouthWest Energy. Orrick, Herrington & Sutcliffe LLP is legal advisor to SouthWest Energy.