TotalEnergies has agreed to divest an indirect 9.998% interest in Malaysia’s SK408 block to PTTEP, while maintaining a 30.002% stake in the asset.
PTTEP is entering SK408 through the acquisition of a 49.99% interest in AzurVista Resources, a wholly owned subsidiary of TotalEnergies that holds a 20% participating interest in the block. After completion, PTTEP’s indirect participating interest in SK408 will be 9.998%.
TotalEnergies said the deal supports portfolio management in Malaysia and reinforces cooperation with PTTEP, which it described as a long-standing partner. The company also positioned the transaction as another step in its recent Malaysia activity, following the acquisition of SapuraOMV in December 2024 and the purchase of interests in multiple blocks from PETRONAS Carigali in June 2025.
SK408 is a shallow-water natural gas and condensate producing area under a production sharing contract regime. The PSC participants are AzurVista Resources (20% participating interest), TotalEnergies EP Sarawak (20%), PETRONAS Carigali (30%), and Sarawak Shell (30%). Operations are split into two areas: the western area is operated by TotalEnergies EP Sarawak, while the eastern area is operated by Sarawak Shell.
The block has achieved a commercially viable natural gas discovery, and development and production activities are ongoing. Current production is approximately 750 million standard cubic feet of natural gas per day and 15,000 barrels of condensate per day, with produced gas delivered to an onshore LNG liquefaction complex. PTTEP said the investment aligns with its strategy focused on growth in priority regions and deeper collaboration with strategic partners.
