ConocoPhillips' (NYSE:COP) partner Karoon Gas Australia Ltd. will reportedly sell 1.03 million shares of its South American assets to raise up to $773 million for the purpose of funding exploration.
The stake equals 31.9 percent of their assets, a little higher than the company was looking to divest of when they revealed the possibility of a sale last month.
Karoon has said they wanted to retain 70 percent to 75 percent of the asset.
Shares of Karoon Petroleo & Gas SA will be priced sometime in November, and will raise a minimum of $621 million.
According to a filing with the Australian stock exchange, the money will be used to fund five exploration projects in Peru and seven in Brazil.
This is also a change in direction from the early part of summer, when Karoon has talked of listing on the Brazilian stock exchange to raise capital.
ConocoPhillips is a partner with Karoon in a gas project off the coast of northwestern Australia.
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