Origin Energy (ASX:ORG) divests 10% stake in Australia Pacific LNG

Company News

by Lauren Evans

Origin Energy (ASX:ORG) has sold a 10 per cent stake in Australia Pacific LNG to ConocoPhillips for $2 billion. 

Origin and ConocoPhillips will retain their existing seats on the Australia Pacific LNG board. Origin said the 10 per cent divestment does not change Origin’s role as upstream operator of Australia Pacific LNG. 

The Australia Pacific LNG joint venture shareholders now comprise ConocoPhillips (47.5 per cent), Origin (27.5 per cent) and Sinopec (25 per cent).

“We are pleased to complete the sale of a 10 per cent interest in Australia Pacific LNG, enabling Origin to both crystallise some of the value in this world-class asset and strengthen our balance sheet at a time we are seeking to lead Australia’s energy transition towards net zero emissions," said Origin's chief executive officer Frank Calabria.

"We will continue to work with our partners to support Australia Pacific LNG’s strong performance, as it helps to meet the needs of both LNG and domestic customers on Australia’s east coast.”

Shares in Origin Energy (ASX:ORG) are trading 7.3 per cent lower at $5.71.

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