Origin raises $300m from future production

Origin Energy: the Australian company has agreed to sell a portion of its future oil and condensate production for US$300 million

ORIGIN ENERGY

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Josh Lewis

 24 December 2012 08:05 GMT

Australia’s Origin Energy has reached an agreement to sell a portion of its future oil and condensate production for US$300 million.

Origin said the sale price was linked to the current oil forward pricing curve and that it would use the funds to retire existing drawn debt.

“Under the terms of the agreement, Origin has agreed to sell a portion of oil and condensate from its Australian East Coast and New Zealand production assets from 2015,” Origin’s executive director of finance and strategy, Karen Moses said.

“The agreement allows Origin to realise value today from its future oil and condensate production, which is a by-product of the company’s core gas production business.”

Origin added…

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