22 August 2017
Petrofac sells stake in Pánuco contract to Schlumberger
Petrofac and Schlumberger today announce that Petrofac has sold its 50% interest in Petro-SPM Integrated Services S.A. de C.V (1) to Schlumberger. Petro-SPM operates the Pánuco Integrated Service Contract in Mexico. Schlumberger now owns 100% of Petro-SPM.
The total potential consideration is in line with the net book value of Petrofac's interest and comprises cash on completion and deferred consideration. The deferred consideration comprises both a payment on migration from an Integrated Service Contract to a new contract form and a further share of post migration cash flows.
Rob Jewkes, Chief Operating Officer, Petrofac Integrated Energy Services, commented: "We are pleased to conclude this transaction, which is in line with our strategy and simplifies the ownership of the Pánuco field. We will continue to focus on the remaining production service contracts in our Mexican portfolio."
"We consider Mexico's Energy Reform as a significant step in the evolution of the country's oil and gas industry, and we are optimistic in regard to the various business opportunities created under the new reforms," said Patrick Schorn, Executive Vice President, New Ventures, Schlumberger. "This transaction aligns with our well-established portfolio of production management projects and enables us to move forward with our plans to continue to develop the Pánuco field."
This transaction was completed on August 15, 2017.
(1) Petrofac's 50% interest in Petro-SPM Integrated Services S.A. de C.V. was held 0.01% through Petrofac Mexico S.A. de C.V. and 49.99% through Petrofac Netherlands Coöperatief U.A.