* Asia oil and gas assets seen as crown jewel
* Forecast to generate $1.2 bln cash flow
* Review could lead to an IPO of Asian portfolio
(Adds details on previous asset sales, options being
By Denny Thomas and Saeed Azhar
HONG KONG/SINGAPORE, June 13 Canada's Talisman
Energy Inc is reviewing its Asian oil and gas
portfolio, valued at about $4 billion, which could lead to a
partial or full sale, people familiar with the matter said.
Talisman, Canada's No. 5 independent oil producer, has been
slimming its operations and cutting debt in an effort to boost
its share price to satisfy disgruntled and activist investors
such as Carl Icahn.
The review marks a major shift in business strategy for a
company that classifies its Asian portfolio as a core asset, and
the review will force Talisman to make some tough choices.
It is unclear whether it will opt to sell the entire
portfolio or retain some assets, the people added. A partial
listing of the assets is one of the options being discussed,
Talisman plans to put $2 billion worth of assets on the
market in the next 12-18 months, after raising $6.6 billion
through asset disposals since 2011, according the company
website. The company does not disclose the names of the projects
it plans to sell as part of its restructure.
Talisman owns oil and gas assets in Indonesia, Malaysia,
Vietnam, and the Asia-Pacific region is expected to generate
about $1.2 billion, or nearly half, of Talisman's 2014 estimated
cash flow, according to company presentations.
Talisman joins a list of other independent oil and gas
producers such as Hess Corp and Newfield Exploration Co
in divesting Asian assets in an effort to focus on their
core home markets.
The company, which has a $10.8 billion market value, is
working with Goldman Sachs on the review, the people
Talisman and Goldman Sachs declined to comment. Sources
declined to be identified as the review is confidential.
(Reporting by Denny Thomas and Saeed Azhar; Additional
reporting by Mike Stone in NEW YORK; Editing by Stephen Coates)