InterOil Corp (IOC.N) said it has increased the cap on an additional cash payment based on the output from a natural gas field in Papua New Guinea that was part of its sale agreement with ExxonMobil Corp (XOM.N).
The all-stock deal, valued at more than $2.5 billion when it was made public in July, will give Exxon access to a gas field to expand exports from Papua New Guinea and better position it to meet Asian demand for liquefied natural gas.
The changes to the additional cash payment represent an increase in total potential consideration to about $78.94 per InterOil share from about $71.87 earlier, InterOil said in a statement.
The payment is worth $7.07 per share for each trillion cubic feet equivalent (tcfe) of certified gross resource from the Elk-Antelope field above 6.2 tcfe and up to a maximum of 11 tcfe, up from the earlier cap of 10 tcfe.
InterOil also said the termination fee has been increased to $100 million from $67 million, and extended the outside date of the transaction to March 31, 2017.
(Reporting by Diptendu Lahiri in Bengaluru; Editing by Sunil Nair)