12th Dec 2025 11:25
(Alliance News) - Harbour Energy PLC on Friday said it has agreed to acquire all the subsidiaries of two oil and gas companies in order to boost the company's assets in the UK North Sea, as Capricorn Energy PLC announced it has entered into a lock-up agreement in support of the purchase.
The oil and gas producer, with operations across Europe, Latin America, North Africa and Southeast Asia, said it will buy all the subsidiaries of Waldorf Energy Partners Ltd and Waldorf Production Ltd, which are currently in administration, for USD170 million.
Harbour said it expects the acquisition to add oil-weighted production of 20 thousand barrels of oil equivalent per day and 2P reserves of 35 million.
This is because the acquisition increases Harbour's interest in its operated Catcher field to 90% from 50%, and provides a new production base in the Northern North Sea with the addition of a 29.5% non-operated interest in the Kraken oil field.
Harbour said an estimated USD350 million in cash would be released, which is currently posted to secure Waldorf's decommissioning liabilities.
The company will also add Waldorf's UK ring fence tax losses, which, as at year-end 2024, included those relating to corporation tax of around USD2.45 billion, supplementary charge of approximately USD1.80 billion and an energy profits levy of around USD60 million.
It said it expects to complete the acquisition during the second quarter of 2026.
"This transaction is an important step for Harbour in the UK North Sea, building on the action we've already taken to sustain our position in the basin given the ongoing fiscal and regulatory challenges," said Scott Barr, the managing director of Harbour's UK Business Unit.
"It stabilises the Catcher joint venture partnership and delivers immediate cash flow benefits. It also improves the long-term sustainability of our UK business, the jobs it continues to support and the energy security it provides. In addition, it facilitates a welcome solution to funding and decommissioning challenges for multiple parties in the UK North Sea."
Capricorn Energy on Friday said it had entered into a lock-up agreement in support of Harbour's purchase and has agreed to compromise its unsecured claims against Waldorf for a payment of around USD4 million to USD5 million.
In August, the Egypt-focused oil and gas explorer reiterated that it is owed USD29.5 million in liabilities by Waldorf, but had said that a full recovery "remains unlikely due to Waldorf's financial position". The liabilities relate to a sale & purchase agreement from 2021, which was later amended in 2023.
Capricorn added that it will also retain the right to participate in potential residual claims.
Shares in Harbour rose 4.0% to 207.20 pence on Friday morning in London, while shares in Capricorn rose 1.6% to 193.00p.
By Roya Shahidi, Alliance News reporter
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