INPEX to Acquire JERA's 0.735% Interest in Ichthys LNG, Raising Its Stake to 68.555%

en.Wedoany.com Reported - On September 25, INPEX announced that its Australian subsidiary has signed an agreement with JERA's Australian subsidiary to acquire the 0.735% participating interest held by JERA in the Ichthys LNG project. Upon completion of the transaction, INPEX's interest in the project will increase from 67.82% to 68.555%. The transaction remains subject to closing conditions, including approval from Australian government regulators, and the transaction price was not publicly disclosed.

This acquisition stems from INPEX exercising its pre-emption rights under the project's joint operating agreement and shareholders' agreement. In March of this year, JERA had agreed to sell its 0.735% interest in the Ichthys LNG project and 0.417% interest in the Gorgon LNG project to MidOcean Energy. Following INPEX's exercise of its pre-emption rights, the Ichthys LNG interest held by JERA will be transferred to INPEX's Australian subsidiary; the arrangement for JERA to sell its Gorgon LNG interest to MidOcean Energy remains unchanged.

INPEX disclosed that the participating interest corresponding to this transaction also covers the WA-50-L and WA-51-L blocks offshore Western Australia, including the Ichthys gas-condensate field interest, as well as shares in Ichthys LNG Pty Ltd. The latter holds the project's gas export pipeline and downstream liquefaction facilities, and is responsible for LNG liquefaction and sales operations.

The Ichthys LNG project is operated by INPEX, reached final investment decision in 2012, and began production in 2018. The project currently has LNG production capacity of approximately 9.3 million tonnes per annum, LPG production capacity of approximately 1.65 million tonnes per annum, and peak condensate production of approximately 100,000 barrels per day. Prior to the transaction, in addition to INPEX holding a 67.82% interest, TotalEnergies held 26%, CPC held 2.625%, Osaka Gas and Kansai Electric Power each held 1.2%, JERA held 0.735%, and Toho Gas held 0.42%.

JERA stated that the adjustment of the buyer will not affect its LNG procurement, and the company will continue to lift LNG from the Ichthys LNG project under its existing LNG sale and purchase agreement. INPEX expects that this acquisition will have a limited impact on its consolidated financial results.