Jadestone Energy to acquire 90 per cent interest in Lemang PSC in Indonesia

Jadestone Energy, Inc. has executed an acquisition agreement to acquire an operational 90 per cent interest in the Lemang production sharing contract (PSC) located in onshore Indonesia from Mandala Energy Lemang Pte Limited for a purchase consideration of about $43.7 million. The purchase consideration includes a total initial headline cash consideration of $12 million, further consideration of $5 million payable to the seller upon first gas, and contingent payments of up to $26.7 million. The Lemang PSC includes the Akatara gas field and is located onshore Sumatra, Indonesia. Following the transaction, Jadestone will own 90 per cent interest in the PSC with the remaining 10 per cent working interest held by PT HexindoGemilang Jaya. The transaction is expected to close in the first quarter of 2021, subject to governmental approvals.