ConocoPhillips completes the sale of its assets in Indonesia


HOUSTON, March 03, 2022–(BUSINESS WIRE)–ConocoPhillips (NYSE: COP) today announced that it has completed the sale of the subsidiary that indirectly owns its 54% stake in the Indonesia Corridor Block’s Production Sharing Contract (PSC) and a 35% stake in Transasia Pipeline Company to MedcoEnergi for $1.355 billion, with an effective date of January 1, 2021. After customary closing adjustments, net cash from the sale is approximately $0.8 billion, which which represents $0.1 billion of restricted cash transferred to MedcoEnergi at closing.

“We are proud of our half-century history in Indonesia and delighted that MedcoEnergi recognizes the value of this company,” said Ryan Lance, president and CEO of ConocoPhillips. “This provision is part of our ongoing efforts to focus our investments on low-cost sourcing opportunities.”

The assets sold produced 51,000 barrels of oil equivalent per day (MBOED) in 2021 and had proven reserves at the end of 2021 of approximately 70 million barrels of oil equivalent.

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About Conoco Phillips

ConocoPhillips is one of the world’s leading exploration and production companies based on both production and reserves, with a globally diversified portfolio of assets. Headquartered in Houston, Texas, ConocoPhillips had operations and businesses in 14 countries, $91 billion in total assets and approximately 9,900 employees as of December 31, 2021. Production, including Libya, averaged 1,567 MBOED for the 12 months ended December 31, 2021 and proved reserves were 6.1 BBOE as of December 31, 2021. For more information, visit www.conocophillips.com.

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Factors that could cause actual results or events to differ materially from what is presented include the impact of public health crises, including pandemics (such as COVID-19) and epidemics and any policies or actions business or government related; global and regional changes in demand, supply, prices, differentials or other market conditions affecting oil and gas, including changes resulting from a public health crisis or the imposition or the lifting of crude oil production quotas or other measures that may be imposed by OPEC and other producing countries and the resulting actions of the company or third parties in response to such changes; changes in commodity prices, including a prolonged decline in such prices from historical or expected future levels; insufficient liquidity or other factors, such as those listed here, which could affect our ability to repurchase shares and declare and pay dividends, such that we suspend our share buyback program and reduce, suspend or completely eliminate future dividend payments, whether variable or fixed; changes in expected levels of oil and gas reserves or production; potential failures or delays in achieving expected reserve or production levels from existing and future oil and gas developments, including due to operating hazards, drilling risks or unsuccessful exploration activities; unexpected cost increases or technical difficulties in constructing, maintaining or modifying company facilities; legislative and regulatory initiatives addressing global climate change or other environmental concerns; investment and development of competing or alternative energy sources; disruptions or interruptions impacting the transportation of our oil and gas production; international monetary conditions and exchange rate fluctuations; changes in international trade relationships, including the imposition of trade restrictions or customs duties on any materials or products (such as aluminum and steel) used in the operation of our business; our ability to collect payments when due under our settlement agreement with PDVSA; our ability to collect payments from the government of Venezuela as directed by ICSID; our ability to liquidate common stock issued to us by Cenovus Energy Inc. at prices we deem acceptable, or not at all; our ability to timely complete announced or future divestitures or acquisitions, if any; the possibility that regulatory approvals for any announced or future divestiture or acquisition may not be received in a timely manner, if at all, or that such approvals may require a change in the terms of the transactions or our remaining businesses; business interruptions resulting from the acquisition of assets from Shell (the “Shell Acquisition”) or any other announced or future divestiture or acquisition, including the diversion of management’s time and attention; the ability to deploy the net proceeds of our announced or future divestitures in the manner and within the timeframes we expect, if at all; potential liability for corrective actions under existing or future environmental regulations; potential liability arising from pending or future litigation, including litigation related directly or indirectly to our transaction with Concho Resources Inc.; the impact of competition and consolidation in the oil and gas industry; limited access to capital or a significantly higher cost of capital related to illiquidity or uncertainty in domestic or international financial markets; general national and international economic and political conditions; the ability to successfully integrate the assets resulting from the acquisition of Shell or obtain the expected benefits of the transaction; unforeseen difficulties or expenses relating to the acquisition of Shell; changes in the tax regime or tax, environmental and other laws applicable to our business; and disruptions resulting from accidents, extraordinary weather events, civil unrest, political events, war, terrorism, cyberattacks or information technology failures, stresses or disruptions; and other economic, business, competitive and/or regulatory factors affecting our business generally, as disclosed in our filings with the Securities and Exchange Commission. Except as required by law, ConocoPhillips expressly disclaims any obligation to update forward-looking statements, whether as a result of new information, future events or otherwise.

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