22nd Oct 2013 09:26
LONDON (Alliance News) - EnQuest PLC Tuesday said it has entered an agreement to acquire Centrica's entire 50% share of the Greater Kittiwake Area in the UK North Sea.
The oil and gas production company in the UK North Sea said it will pay a base consideration of USD39.9 million and will additionally assume net debt of USD5.1 million, subject to certain working capital and other adjustments.
The company said it will also pay a deferred consideration of USD30 million, contingent on regulatory approval of a field development plan for the Scolty field and/or the Crathes field, also in the UK North Sea.
EnQuest said that, as part of the deal it has also acquired Centrica's 100% interest in the Kittiwake to Forties oil export pipeline and that the additional production from the sites is roughly 2,000 barrels of oil equivalent per day.
The acquisition may represent a potential hub of activity for EnQuest as it brings together a range of its sites which are in close proximity in the area.
EnQuest shares were up 0.6% to 130.60 pence Tuesday morning.
By Tom McIvor; [email protected]; @TomMcIvor
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