Pavilion Energy Pte Ltd has entered into an agreement to purchase 20% interest in Tanzania Blocks 1, 3 and 4 from Ophir Energy plc for a consideration of US$1.288 billion.
This is Pavilion Energy's first major investment to build a diversified LNG supply portfolio to meet Asian demand for clean energy.
Recent major gas discoveries off the shores of Tanzania are set to position the country as a key LNG exporter. Currently owned 60:40 by BG Group plc and Ophir Energy, the Tanzania Blocks 1, 3 and 4 are estimated to hold about 15 tcf of gas in moderate water depths. BG Group is the designated operator of this project. The first gas delivery is expected to begin in 2020.
The investment is subject to regulatory, governmental and other required third party approvals, as well as approval by Ophir's shareholders by way of a general meeting of shareholders. The transaction is expected to complete in the first quarter of 2014.
Pavilion Energy is a Temasek portfolio company, an investment company owned by the Government of Singapore. The company is focused on the global LNG supply chain to provide clean, with a vision to be established as a preferred regional LNG player in Asia.
