Big oil and gas players may continue asset buys this year: Hibiscus

April 20, 2018

Dateline 2018-03-01, NST:

Asset acquisitions in the oil and gas industry may continue this year as big players seek to increase their capital expenditure while oil prices are rebounding.

This will also benefit smaller players like Hibiscus Petroleum Bhd in the hunt for potential new brownfield assets as rationalisation by the big players continue.

Since oil price plummeted in 2014, the global oil and gas industry saw high number of mergers and acquisition (M&As) deals where big players carried out their rationalisation plans, cut down costs and capital deployment, as well as sold assets to smaller players.

Bloomberg data showed M&As in the industry picked up since 2013 to reach its highest volume level of 428.2 billion in 2017.

According to Financial Times, quoting Mergermarket, M&As had risen by 40 per cent to US$270 billion in the first nine months of last year, compared with US$192 billion in the same period in 2016.


Hibiscus – the story of a successful SPAC

April 5, 2018

Dateline 2018-02-24, The Star:

THE story of Hibiscus Petroleum Bhd’s growth is an interesting one, considering its funding needs have virtually all come from private investors. The debt-free independent exploration and production company has achieved a few notable milestones.

Not only has it survived making expensive acquisitions before the oil price crash (when it lived as a special-purpose acquisition company or SPAC), it also went through the oil crash and has come out smiling, by being cashflow positive.

No doubt, there have been investors who lost money along the Hibiscus journey, but there have been a number of investors who have rode its recovery well and are sitting pretty.

 


Malaysia’s Hibiscus To Buy Shell’s 50% Stake In North Sabah Production Contract

January 29, 2018

Dateline 2017-12-05, Nikkei Asian Review:

Hibiscus Petroleum, a Malaysian petroleum exploration and production firm, said Tuesday it plans to buy Shell’s 50% stake in the 2011 North Sabah enhanced oil recovery production-sharing contract.

The company has secured unconditional consent from the national oil-and-gas company Petronas for the proposed acquisition of the North Sabah contract from the Dutch oil major, Hibiscus said in an exchange filing. The contract provides production rights until 2040, the company said.


Hibiscus to buy Shell’s operatorship of four oil fields offshore Sabah

November 25, 2016

And that settles my thoughts as to when Hibiscus was going to spend its money, and who would want to buy the Shell Sabah blocks.

Dateline 2016-10-12, The Star:

Shell has reached an agreement to sell its 50% equity interest in the 2011 North Sabah enhanced oil recovery (EOR) production sharing contract (PSC) to Hibiscus Petroleum Bhd’s indirect unit SEA Hibiscus Sdn Bhd for US$25mil (RM104.8mil).

The amount excludes post completion adjustments and reimbursements to Shell.

Currently, Sabah Shell Petroleum Co (25%) is the operator, partnering with Shell Sabah Selatan (25%) and Petronas Carigali Sdn Bhd (50%) in the PSC, which includes the Labuan Crude Oil Terminal, and the fields of St Joseph, South Furious, SF30 and Barton, all located offshore Sabah.

Total oil production (on a 100% PSC basis) averaged 18 kilobarrels (kbbls) per day last year, according to statements from Shell and Hibiscus.


Hibiscus Acquires Talisman’s 25% Stake in Kitan Oil Field in JPDA 06-105

August 29, 2014

Dateline 2014-06-24, Rigzone:

Malaysia’s Hibiscus Petroleum Berhad announced Monday that its wholly-owned subsidiary, Timor Hibiscus Limited, has executed a Share Sale Agreement for the acquisition of 100 percent of the shares in Talisman Resources (JPDA 06 105) Pty Ltd., a wholly-owned subsidiary of Toronto Stock Exchange and New York Exchange listed, Talisman Energy Inc. The assets of the company acquired include a 25 percent stake in the Kitan producing oil field. Based on the current estimates, Hibiscus expects the Kitan oil field to contribute significant net cash to the company in the second half of 2014. At current oil prices, this will allow Hibiscus to book its first operating profit in 2014.


Malaysia’s Hibiscus finds oil in Oman

February 14, 2014

Dateline 2012-12-25, The Star:

Hibiscus Petroleum Bhd, the first special-purpose acquisition company (SPAC) to be listed on the local bourse, has discovered oil in its Oman assets, but the first well is not commercially viable.

The oil and gas exploration outfit told Bursa Malaysia that Masirah Oil Ltd, a jointly controlled entity of Lime Petroleum Plc, had suspended its first exploration well, Masirah North North 1 (MNN 1) in Block 50 Oman, for further evaluation on safety reasons.

The group noted in a press statement that the well had been drilled to a total depth of about 1,000m below the mean sea level.

“Mud losses in two carbonate sections of the well prevented Masirah Oil from reaching its planned target depth,” it said.

 


Hibiscus, Ho Hup take the LIMELIGHT

November 24, 2013

Oldie but goldie.

Dateline 2013-10-14, Malaysia Chronicle:

Hibiscus Petroleum Bhd and Ho Hup Construction Co Bhd seem to be getting more than their fair share of interest from the stock-buying public.

Hibiscus, which counts billionaires Tan Sri Quek Leng Chan and Tan Sri A.P. Arumugam as its shareholders, is seen to be slowly moving away from operating as a special purpose acquisition
company (SPAC).

Hibiscus was the country’s first SPAC to be listed on the stock exchange, but ironically some of its recent moves seem to suggest the company plans to aquire quantifiable assets to back up its resume.

This can be seen from its move to acquire Newfield Exploration Co’s oil and gas assets in Malaysia and China.