Solveig Gas Norway AS shall acquire all the shares in Capricorn Norge AS by paying US$ 100 million plus customary working capital adjustments on completion.
Following this transaction, Cairn will have disposed of all of its assets in Norway and will reduce its committed exploration and development capital expenditure by ~US$100 m.
Cairn will use the proceeds of the transaction to fund its ongoing business.
“This is a further attractive transaction for Cairn shareholders in line with our consistent strategy to realize value and redeploy capital within our portfolio. We continue to have a material business in the UK North Sea where production performance of the Kraken and Catcher assets remains strong. We wish all of the team in Stavanger every success in the future”, Simon Thomson, Cairn CEO, said.