AWE Limited
(ASX:AWE) says it will sell its undeveloped gas asset off the coast of Java Indonesia for $27.5 million cash.
The 42.5 per cent share in the Bulu PSC will go to a subsidiary of HyOil over two tranches effective from April 1 2016.
The deal is still subject to Indonesian governmental approval and the sale is in line with strategy to divest non-core assets.
AWE will use the capital to strengthen its balance sheet ahead of development of the Waitsia gas project in WA.
AWE reported a net loss of $273.9 million at 31 December 2015.
