OMV to Divest Upstream Business in Pakistan

Integrated oil and gas company OMV has revealed that it has agreed to sell its upstream business in Pakistan to Dragon Prime Hong Kong Limited for a consideration of US$191 million.

The transaction, which is subject to conditions such as relevant regulatory approvals, is expected to complete by year end.

OMV Pakistan holds interests in five development and production leases and operates the producing Sawan, Miano, Latif, Gambat, and Mehar blocks. It holds further interests in five exploration blocks, of which four are operated.

“The divestment represents a further step in optimising OMV’s Upstream portfolio,” an OMV spokesperson said.

OMV said its ten percent stake in PARCO, a joint venture between Pakistan and Abu Dhabi in the downstream sector, is not part of the divestment.

Source: Rigzone