Horizon, Matahio Energy to acquire assets onshore Thailand from ExxonMobil
Horizon Oil Ltd., through subsidiary Horizon Thailand Investments Pty Ltd. and in partnership with Matahio Energy, has agreed to a deal with Exxon Mobil Corp. to acquire interest in certain assets in Thailand.
With the deal, Horizon is set to acquire a 7.5% working interest in the E5N and EU1 development licenses, onshore Thailand, which contain the producing Sinphuhorm conventional gas and condensate field (operated by PTTEP), and a 60% interest in the E5 development license, onshore Thailand, which contains the producing Nam Phong conventional gas field.
Sinphuhorm field lies 500 km north northeast of Bangkok. It was discovered in 1983 and began production in 2006. The field is an N-S trending inversion related anticline, and the reservoir is the Permian age fractured carbonate Pha Nok Khao (PNK) formation, which contains dry gas with a low gas condensate ratio currently about 2 bbl/MMcf.
The field has been developed with eleven wells drilled from three well pads in the central and southern parts of the field. Pressure depletion trends confirm reasonable connectivity across the field, with tie-in of the recently drilled PH-14 in the north planned for 2026. The field produced an average of 122 MMscfd gross sales gas in December 2024. The field is a depletion drive reservoir with estimated final recovery factor of 82%.
Nam Phong gas field lies 440 km north northeast of Bangkok and 60 km south of Sinphuhorm field. It was discovered in 1981 and commenced production in 1990. The field is a fault bounded, N-S trending anticline formed by inversion tectonics, overlying a reactivated and eroded fault block containing the Permian age fractured carbonate PNK reservoir, which contains dry gas.
Nam Phong is a depletion drive reservoir and production has declined as reservoir pressure declines and is currently producing about 6.5 MMscfd. Of the total nine wells drilled, seven are producing today.
Deal details
The acquisition is proposed through a consortium, with Horizon to acquire 75% of the shares in Exxon Mobil Exploration and Production Khorat Inc. (EMEPKI) with Matahio Energy acquiring the residual 25% and agreeing to manage EMEPKI employees and operatorship of Nam Phong field on behalf of the consortium.
Horizon’s headline cash consideration for the 75% holding in EMEPKI is $30 million, plus up to $7.5 million in contingent payments over the next 6 years, subject to certain conditions.
Upon the deal’s closing, Sinphuhorm will be held 80.48% by operator PTTEP. Partners will be Jadestone, 9.52%; Horizon Oil 7.50%; and Matahio, 2.50%.
At Nam Phong, PTEEP will hold 20%, Horizon Oil will hold 60%, and Matahio will hold 20%.
The deal remains subject to customary completion conditions.
