U.S. oil exploration and production company Murphy Oil Corp. is close to divesting its Malaysian oil and gas assets in a transaction valued at more than $2 billion.
Murphy Oil will sell the assets to Thai petroleum exploration and production company PTT Exploration and Production Public Co. (PTTEP PCL), a unit of PTT Public Co.
The company plans to use the proceeds from the deal to pay down debt, buy back shares and finance potential transactions in the U.S.
Besides the enterprise value of the divestment, PTTEP will also pay Murphy Oil up to $100 million as a bonus if certain exploration projects show results before October 2020.