Equinor UK Restricted has introduced that it has signed an settlement to accumulate Suncor Vitality UK Restricted for a complete consideration of $850 million.
In an announcement posted on its web site, Equinor highlighted that the deal features a 29.89 p.c non-operated curiosity within the Buzzard oil area, a further 40 p.c stake within the Rosebank growth, and Suncor workers based mostly within the UK who work with the belongings.
The transaction, which Equinor identified is topic to related regulatory approvals, will add roughly 15,000 barrels of oil equal per day in fairness share in 2023 and “create synergies with Equinor’s present operations”, the corporate outlined.
Buzzard, which is operated by CNOOC Worldwide, is presently producing at roughly 60,000 barrels of oil equivalents per day, Equinor highlighted. The anticipated recoverable assets at Rosebank, which is operated by Equinor, are roughly 300 million barrels of oil, in accordance with the corporate, which famous that $250 million of the consideration is contingent upon a remaining funding resolution for Rosebank. Completion of the deal would see Equinor’s stake within the challenge rise to 80 p.c.
“This transaction is consistent with Equinor’s technique of optimizing our oil and fuel portfolio and deepening in our core international locations,” Philippe Mathieu, Equinor’s Govt Vice President for Exploration and Manufacturing Worldwide, mentioned in an organization assertion.
“We’re constructing on our longstanding place as a broad vitality associate to the UK, strengthening our place as a dependable vitality supplier in Europe, whereas persevering with to ship on our ambition of changing into a net-zero firm,” he added.
In an announcement posted on its web site, Suncor Vitality mentioned it had entered right into a share buy settlement with Equinor UK Restricted for the sale of Suncor Vitality UK Restricted, which it famous contains Suncor’s non-operated offshore pursuits within the North Sea.
“The choice to promote our UK exploration and manufacturing enterprise is a transparent instance of our dedication to optimize our asset portfolio,” Kris Smith, Interim President and Chief Govt Officer of Suncor, mentioned in an organization assertion.
“Having the correct ‘match and focus’ in our portfolio permits us to each guarantee efficient capital allocation in step with our strategic aims and to focus our group on delivering worth in the remainder of our portfolio, together with our exploration and manufacturing enterprise in East Coast Canada,” Smith added within the assertion.
Rigzone has requested UK business physique Offshore Energies UK (OEUK) for touch upon the Equinor-Suncor deal. On the time of writing, Rigzone has not but acquired a response from OEUK.
Earlier this month, Equinor introduced that it had signed an settlement to accumulate fairness curiosity in 5 discoveries within the Troll, Fram, and Kvitebjørn space within the North Sea on the Norwegian continental shelf from Wellesley Petroleum AS. The transaction provides a further 18.8 p.c in Grosbeak, 45 p.c in Toppand, 40 p.c in Atlantis and 20 p.c in Røver Nord and Røver Sør, Equinor highlighted.
Again in February, Equinor revealed that it had entered into an settlement with Liwathon for the sale of the Equinor South Driving Level oil terminal on the Grand Bahama Island within the Bahamas. Equinor purchased the terminal in 2009.
Additionally throughout February, Suncor Vitality introduced that it had closed a transaction to buy a further 14.65 p.c working curiosity within the Fort Hills Mission from Teck Sources Restricted. Following the deal, Suncor and its affiliate’s combination share within the challenge is 68.76 p.c, Suncor identified, including that it’s the operator of the Fort Hills Mission via an working providers contract.
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