Coro Energy plc’s $4.8 Million Acquisition of an interest in the Duyung Production Sharing Contract


Watson Farley & Williams, Wong Tan & Molly Lim, Guido Hidayanto and Partners and Ogier advised AIM-listed E&P company Coro Energy plc on the deal

AIM-listed E&P company Coro Energy Plc (“Coro”) on its acquisition of an interest in the Duyung Production Sharing Contract (“Duyung PSC”) in the West Natuna basin, offshore Indonesia, which contains the shallow water Mako gas field.

As part of the transaction, Coro will pay a total consideration of US$4.8m, comprising US$2.95min cash and US$1.85m in Coro shares, as well as contributing US$10.5m in partial funding for the 2019 drilling campaign for the Mako gas field, in order to acquire a 15% stake in the Duyung PSC from West Natuna Exploration Limited (“WNEL”), a private company which in turn is the 100% owner and operator of the Duyung PSC.

The shareholders of WNEL currently comprise Conrad Petroleum Limited (90%), a private company based in Singapore, and AIM-listed E&P company Empyrean Energy plc (10%).

An independent review by Gaffney Cline & Associates has ascribed gross 2C resources of 276 Bcf (48.78 MMboe) of recoverable dry gas in the Mako field, with gross 3C resources of 392 Bcf (69.3 MMboe) representing additional field upside. The field is located close to the West Natuna Transportation System, offering the potential to sell gas into the Singaporean market.

The WFW team advising Coro was jointly led by Global Natural Resources Sector Head Jan Mellmann in London and Singapore Corporate Partner Nick Dingemans. They were assisted in London by Associate Jessica Lever and in Singapore by Associates Nana Taylor and Yen Lin Ee. Singapore law advice was provided by WFW’s Formal Law Alliance partners, Wong Tan & Molly Lim LLC. Ogier provided BVI law advice and Indonesian law advice was provided by Guido Hidayanto and Partners.

The Ogier team, comprising partner Simon Dinning and associate Laura Malpass.

Involved fees earner: Simon Dinning – Ogier LLP; Laura Malpass – Ogier LLP; Nick Dingemans – Watson Farley & Williams; Jessica Lever – Watson Farley & Williams; Jan Mellmann – Watson Farley & Williams; Nana Taylor – Watson Farley & Williams;

Law Firms: Ogier LLP; Watson Farley & Williams;

Clients: Coro Energy PLC;

Print Friendly, PDF & Email