Mubadala Petroleum eyes $2bn Southeast Asia sale

Mubadala Petroleum has put its Southeast Asia portfolio up for sale for $2 billion. The Abu Dhabi-based company will be following in the footsteps of ExxonMobil, Chevron, Shell, Murphy Oil, Hess, Repsol and Eni, all of which are looking to sell assets in the Asia region.

Market sources told Energy Voice that all of Mubadala’s assets in Southeast Asia, excluding Vietnam, are being marketed as one package by investment bank J.P. Morgan. However, as the majors and IOCs ramp up their divestment campaigns there appears to be too many sellers and not enough serious buyers in the region. This could significantly dent asking prices. But for the committed buyer now is a great time to build a business.

“The sum of Mubadala’s parts is probably worth more than the parts,” Simon Molyneux, managing director at Perth-based upstream consultancy Molyneux Advisors, told Energy Voice. The package offers a springboard into the region for operators with big ambitions. But the critical issue will be retaining key Mubadala staff, he added.

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