ConocoPhillips is selling its stake in East Timor’s Greater Sunrise gas field back to the government for $350 million.
The sale resolves a disagreement between the Houston energy producer and the government of East Timor, also known as Timor-Leste, which aims to develop the field more quickly to bring in greater federal revenues.
ConocoPhillips owns a 30 percent stake in the field, which is located between Indonesia and Australia.
ConocoPhillips Executive Vice President Matt Fox called the sale a mutually beneficial deal.
“Although we differ with the government on its proposed development plan for Sunrise, we recognize the importance of the field to the nation of Timor-Leste,” Fox added, “and the sale of our interest to the government gives them a working interest in this important development.”
The deal is expected to close early next year.
This article first appeared on the Houston Chronicle – an Energy Voice content partner. For more from the Houston Chronicle click here.