Dec. 2 (Bloomberg) -- Chevron Corp. agreed to sell a stake in the Gendalo-Gehem natural gas development in Indonesia to China Petroleum & Chemical Corp.
The 18 percent farm-down is subject to regulatory approval in Indonesia and China, Singapore-based Chevron spokesman Gareth Johnstone said in an e-mail today. Chevron currently has an 80 percent interest in the project, which is located in the deep-water Makassar Strait and may eventually produce 1.1 billion cubic feet of gas and 31,000 barrels of condensate a day. Financial details weren’t disclosed.
San Ramon, California-based Chevron said that it awarded front-end engineering and design contracts for the development to Technip Indonesia, PT Worley Parsons Indonesia, and PT Singgar Mulia, according to a statement.
“The completion of this project will strengthen our regional portfolio of major gas projects and enhance our position as a leading supplier of natural gas and liquefied natural gas in the Asia-Pacific region,” said George Kirkland, Chevron vice-chairman.
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