Baron Oil has entered into a joint venture with SundaGas Pte Ltd, a Singapore-based company, to search for new business opportunities in south-east Asia.
SundaGas is a new exploration and production company, founded by Dr Andy Butler, formerly VP Business Development at Mitra Energy Inc.
Its management has many years of experience as an operator in SE Asia, where a number of material transactions were completed. SundaGas has already identified a portfolio of potential opportunities, ranging from new PSC applications to purchases of existing production.
The company also has the great advantage of being able to bring an operating capability in SE Asia to the table.
Baron will pay SundaGas a monthly fee for an initial period of six months from 1 October 2016, after which the arrangement will be reviewed.
In the event that opportunities that have already been identified by SundaGas or are identified during the initial period come to fruition, Baron will have the right to take an interest in them on the same terms as SundaGas.