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Origin signs $200m offtake deal

26th February 2013

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) - ASX-listed Origin Energy has secured a $200-million agreement to sell an additional portion of its future oil and condensate production.

The forward sale agreement covered a period of six years, starting in July 2015, and followed a similarly structured transaction announced in December last year, which raised $300-million.

Under the terms of that transaction, Origin would sell a portion of oil and condensate from its Australian East Coast and New Zealand production assets, from 2015 onward.

Origin said on Tuesday that the two transactions represented around 35% of the company’s current oil and condensate 2P reserves, excluding the Australia Pacific liquefied natural gas project.

The $500-million raised by the two offtake transactions would be used to retire existing drawn debt, the company said.

Edited by Creamer Media Reporter

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