Petrovietnam seeking $1.8bln loan for Murphy Oil Malaysia stake-Basis Point

HONG KONG Thu Aug 21, 2014 1:04am EDT

HONG KONG Aug 21 (Reuters) - Petrovietnam is in talks with banks for a seven-year loan of up to $1.8 billion to back its bid to buy a stake in Murphy Oil Corp's Malaysian oil and gas assets, Thomson Reuters publication Basis Point reported on Wednesday, citing sources.

Arkansas-based Murphy Oil, which has interests in oil and gas fields in Malaysia, Vietnam, Indonesia, Brunei and Australia, is seeking buyers for a 30 percent stake in its Malaysian assets, Reuters previously reported.

Petrovietnam's offer is more than the $1.5 billion bid placed by the Indian consortium of Oil & Natural Gas Corp and Oil India Ltd. Mitsubishi Corp is also among bidders for the assets.

A limited number of banks are involved in the talks with Petrovietnam for the financing, Basis Point said. The company's CEO could not be reached on Thursday for comment.

In early July, the state-owned company had approached banks for the M&A financing and set a mid-July deadline for responses. The company was initially considering a 12-18 month bridge financing, the report said. (Reporting by Kane Wu of LPC/Basis Point; Additional reporting by Mai Nguyen in Hanoi; Writing by Stephen Aldred; Editing by Matt Driskill)

FILED UNDER: