Indonesian energy company Medco is reportedly on the verge of acquiring ConocoPhillips’ stake in the Natuna Sea offshore block in Indonesia.

ConocoPhillips operates the offshore South Natuna Sea Block B with a 40 percent stake. The area has three producing oil fields and 16 natural gas fields in various stages of development.

Reuters based its story on accounts of three people familiar to the matter, who did not wish to be identified. They reportedly said that Medco would announce the deal soon. No financial details were given.

Offshore Energy Today has contacted ConocoPhillips for a comment. We have yet to receive a response.

To remind, ConocoPhillips has been working on asset sales, primarily deepwater fields in the U.S. Gulf of Mexico, but it also mentioned Indonesia in one of its previous quarterly reports.

The company is working to achieve a goal of $1 billion of proceeds from asset sales in 2016, aiming to use the obtained cash to service debt.

ConocoPhillips CEO has previously said the company’s aim is to reduce debt as it matures, adding that debt payment could be accelerated as assets sales progress.

As for the soon to be sold offshore block in Indonesia, natural gas production from it is sold under international sales agreements to Malaysia and Singapore, and liquefied petroleum gas is sold locally for domestic consumption.

Source: www.offshoreenergytoday.com