Inpex Corp., through its wholly owned subsidiary, Inpex Offshore South West Sabah Ltd., has reached an agreement to transfer 10% of its participating interest in Deepwater Block R to Santos Sabah Block R Ltd., a subsidiary of Santos Ltd.
Santos Sabah Block R Ltd. also separately agreed to acquire a 10% participating interest in the block from JX Nippon Oil & Gas Exploration (Deepwater Sabah) Ltd. (JX), bringing its total participating interest in the block to 20% upon fulfillment of due procedures.
Inpex Offshore South West Sabah Ltd. currently owns a 37.5% participating interest (inclusive of the portion to be transferred to Santos Sabah Block R Ltd.) in the block, where it conducts exploration activities alongside operator JX and Petronas Carigali Sdn. Bhd., a wholly owned subsidiary of Petronas.
The block, located in offshore East Malaysia, covers an area of 259 square miles (672 square kilometers) with a water depth ranging from 328 feet (100 meters) to 4,593 feet (1,400 meters).