Mitsui & Co., Ltd. ("Mitsui") announced today that its U.S. subsidiary, MitEnergy Upstream LLC ("MitEnergy"), has entered into a purchase and sale agreement on November 20Th, 2009 to divest all of its Gulf of Mexico oil and gas assets to Energy XXI, Inc., ("EXXI"). The terms of the purchase and sale agreement are summarized below:
||MitEnergy (see Attachment 1)
||EXXI (see Attachment 2)
||All of MitEnergy's upstream oil & gas assets located in the U.S. offshore Gulf of Mexico (see Attachment 3)
||283 Million USD (*1)
||Expected within 90 days from the conclusion of the purchase and sale agreement
*1 Adjustments to reflect revenues and costs between the effective date and the closing date will be made to the consideration at closing.
Mitsui will reinvest the sale proceeds to other high growth potential opportunities including upstream oil and gas business in order to build a more robust and balanced business portfolio.
North America still remains as one of the core areas for Mitsui in terms of its upstream oil and gas business and will continue to pursue to build sustainable business in the region.
The impact on the consolidated profit and loss as a result of this divestment is expected to be minimal.
This press release includes forward-looking statements about Mitsui. These forward-looking statements are based on the current assumptions and beliefs of Mitsui in light of the information currently available to it, and involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause Mitsui's actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements. The risks, uncertainties and other factors referred to above include, but are not limited to, those contained in Mitsui's latest annual report on Form 20-F, which has been filed with the U.S. Securities and Exchange Commission.
This press release is published in order to publicly announce specific facts stated above, and does not constitute a solicitation of investments or any similar act inside or outside of Japan, regarding the shares, bonds or other securities issued by us.