EnQuest Expands Oil and Gas Presence in Vietnam with Harbour Energy Acquisition

EnQuest, a London Stock Exchange-listed energy firm, has broadened its oil and gas footprint by acquiring Harbour Energy’s Vietnam business, comprising three producing oil and gas fields. This move signifies Harbour Energy’s exit from Vietnam as it strategically manages its portfolio to align with its core objectives.

The increasing focus on deepwater exploration in the South China Sea, known for its abundant hydrocarbon reserves, has spurred projects aimed at replacing production from mature offshore fields. EnQuest sees Vietnam as a region with substantial potential for oil and gas development beyond its current 4.4 billion barrels of oil equivalent (boe) reserves.

With Vietnam investing in infrastructure to support oil and gas production – including offshore drilling rigs, pipelines, refineries, and storage facilities – EnQuest recognizes the importance of developing these facilities to enhance production capacity and ensure the country’s energy security.

The acquisition of Harbour Energy’s business in Vietnam gives EnQuest a 53.125% equity interest and operatorship of the Chim Sáo and Dua production fields in Block 12W. The company reports net 2P reserves and 2C resources across the fields as of January 1, 2025, totaling 7.5 million boe and 4.9 million boe, respectively.

EnQuest’s CEO, Amjad Bseisu, expressed enthusiasm about the acquisition, stating, “South East Asia is key to EnQuest’s growth and diversification strategy, and we are excited by the opportunity to utilize our proven operating expertise to optimize, enhance, and extend the Block 12W assets in Vietnam.”

The strategic acquisition aligns with EnQuest’s goal of expanding its operating footprint through investments in fast-payback assets with low capital expenditure and reduced carbon intensity. The transaction’s headline value stands at $85.1 million, with EnQuest paying approximately $25.7 million.

EnQuest aims to leverage its late-life asset management expertise to maximize value at Block 12W and extend the production sharing contracts (PSCs) beyond the current end date of November 2030. The company plans to assess additional prospectivity in the block and translate discovered resources into reserves.

The Vietnam asset team has already completed a successful annual maintenance shutdown and executed three of six scheduled well intervention scopes, resulting in a gross production increase of 1,200 barrels of oil equivalent per day (boepd) since the acquisition. Net asset production in the first half of 2025 averaged 5.7 kboepd, with potential for further upside during the year.

Block 12W comprises the Chim Sáo, Chim Sáo North West (CSNW), and Dua oil and gas fields in the Nam Con Son Basin. Operational since 2011, these fields play a crucial role in EnQuest’s entry into Vietnam, with plans to leverage their operational performance for sustained value creation.

EnQuest’s expansion into Vietnam, coupled with recent successes in Indonesia, reflects the company’s commitment to growing its presence in Southeast Asia beyond Malaysia. With a focus on operational excellence and strategic investments, EnQuest is poised for continued success in the region.