TotalEnergies sells stake in Malaysia's Marjoram gas field to INPEX

(WO) — TotalEnergies has agreed to sell its interest in the offshore Marjoram gas field in Malaysia to INPEX for $350 million as the company continues to streamline its upstream portfolio and focus on operated growth opportunities.

The transaction covers TotalEnergies' 85% interest in Block 2E, representing an effective 8.5% interest in the Marjoram gas field, which is currently under development offshore Malaysia.

The company said the divestment allows it to realize the value of a minority, non-operated asset while concentrating investment on operated projects and strategic growth opportunities in the country.

"This agreement is fully aligned with our strategy of actively managing our portfolio and prioritizing material positions to support our ambition to develop low-cost, low-emission projects," said Nicolas Terraz, president of exploration and production at TotalEnergies.

TotalEnergies said Malaysia remains a strategic growth area following the startup of the Jerun gas field and its acquisition of SapuraOMV Upstream, which made the company Malaysia's third-largest gas producer.

The company now holds interests in 17 operated and non-operated offshore blocks off the coasts of Sarawak and Sabah and continues to expand its presence across both conventional energy and lower-carbon projects in the country.

In addition to its upstream business, TotalEnergies is advancing a carbon storage project with PETRONAS and Mitsui in the Malay Basin and, earlier this year, announced a $2.2 billion renewable energy joint venture with Masdar focused on Malaysia and the broader Asian market.