Pertamina completes acquisition of ConocoPhillips? assets in Algeria

State-owned oil and gas firm PT Pertamina said it has completed the transaction with ConocoPhillips to acquire their Algerian Business Unit, ConocoPhillips Algeria Limited (COPAL), for a total sales price of US$1.75 billion, or approximately $1.65 billion, including customary adjustments.

This acquisition allows Pertamina to assume a 65 percent participating interest in Block 405a, which contains three main oil fields: Menzel Lejmat North (MLN), Ourhoud, and EMK, the company said in a statement received Thursday.

Pertamina will have a 65 percent participating interest and operatorship in the MLN field and a 3.7 percent and 16.9 percent interest in the Ourhoud and EMK fields, respectively. Since the signing of the agreement, the EMK field has been successfully starting its production.

?This major acquisition provides Pertamina with significant volumes of high quality crude and represents a key milestone in our international upstream business expansion efforts. Pertamina looks forward to working closely with Sonatrach, ALNAFT, the Algerian Authorities and Co-Venturers to fully develop the oil production potential of the Block,? President Director and CEO, Karen Agustiawan said.

Editing by Reiner Simanjuntak