TotalEnergies Sells 8.5% Marjoram Gas Stake to INPEX for $350 Million, Shifting Malaysia to Operated Assets

TotalEnergies SE announced on July 2, 2026, that it had agreed to sell its 8.5% non-operated net interest in the Marjoram gas field, located in Block 2E offshore Sarawak, Malaysia, to INPEX Corporation for $350 million. Both companies issued simultaneous press releases confirming the deal. The Marjoram field remains under active development and has not yet entered production. The sale advances TotalEnergies' stated policy of exiting minority, non-operated stakes to concentrate capital on positions it controls.

TotalEnergies Keeps Its Operated Malaysia Base

Nicolas Terraz, President of Exploration and Production at TotalEnergies, said the transaction "aligns with our strategy of managing portfolios and prioritizing material positions to support low-cost, low-emission projects." TotalEnergies retains interests in 17 offshore blocks in Malaysia and holds the title of third-largest gas producer in the country. Roughly 300 employees support those operations. The Jerun field, a TotalEnergies-operated gas development in Sarawak, came online recently and represents the type of operated, high-equity position the company now prioritizes.

TotalEnergies' Malaysia rationalization runs alongside a wider decarbonization investment drive. The company committed $2.2 billion in April 2026 to a renewable energy joint venture with Abu Dhabi developer Masdar. It also holds a carbon capture and storage development agreement with state oil company PETRONAS and Mitsui in Malaysia, targeting CO2 sequestration from regional gas operations. A non-operated 8.5% stake in a pre-production development field fell below the threshold TotalEnergies now requires to justify continued capital allocation.

INPEX Extends Its Southeast Asia Gas Strategy

For INPEX Corporation, Japan's largest listed upstream oil and gas company, the Marjoram acquisition extends a Southeast Asian gas strategy anchored in Indonesia. INPEX renewed a memorandum of understanding with state-owned PT Pertamina in March 2026 to advance offtake discussions for its Abadi LNG project in the Masela Block, a proposed floating LNG development that has faced permitting delays. Adding Block 2E in Sarawak gives INPEX a producing-corridor gas asset in Malaysia while Abadi LNG continues toward its final investment decision. This two-track approach hedges against the risk that Indonesia's regulatory process could further delay Masela.

Implied Field Valuation

The $350 million price for an 8.5% non-operated net interest implies a gross field valuation of approximately $4.12 billion for the complete Marjoram development, computed by Oil Authority on a straight-line proportional basis. That calculation does not adjust for control premiums or the discounts typically applied to non-operated minority positions, so the real development cost may differ. The willingness to pay $350 million for an 8.5% stake in a pre-production field reflects INPEX's assessment of risked resource value in Sarawak's established gas corridor.

Two Models for Asian Gas Supply Security

This transaction illustrates a different approach to Asian gas supply security than the one described in a recent Oil Authority report on BC Premier David Eby's meetings with PetroChina over LNG Canada Phase 2. PetroChina sought equity in a new greenfield Canadian liquefaction terminal targeting 28 MTPA of total Kitimat capacity. INPEX, by contrast, acquired upstream resource access in the same region where its LNG customers operate. Both strategies reflect Asian energy companies' urgency to lock in gas supply ahead of projected LNG demand growth through the 2030s.