Neptune Energy today announced that it has agreed to terminate the agreement to acquire Edison E&P’s UK and Norwegian subsidiaries from Energean Oil and Gas.
The deal was first announced in October last year.
The company will pay a termination fee of 5 million dollars.
Neptune states that it will continue to pursue its pipeline of global development projects and other growth opportunities.
Although the Edison deal has been terminated, Neptune has still been active on the M&A scene; in 2018 it acquired the ENGIE portfolio, and in 2019 VNG Norge.
The Edison portfolio would have included:
- Glengorm gas condensate discovery (25% WI) in the UK’s Central North Sea, close to Neptune’s operated Seagull Glengorm is an additional contingent resource.
- Scott (10.5% WI) & Telford (15.7% WI), Tors (68% WI), Wenlock (80% WI) and Markham (3.1% WI): combined incremental non-operated production of 3,000 boepd in 2019. Tors is strategically important to the Neptune-operated Cygnus field due to the shared export route.
- Nova gas development project (15% WI) in the Norwegian North Sea: Nova is being developed as a subsea tie-back to the Neptune-operated Gjøa Production is expected from 2021, with estimated net 2P reserves of more than 11 MMboe.
- Dvalin (10% WI) gas development project in the Norwegian North Sea: developed as a subsea tie-back to Heidrun, the four gas wells are expected to be drilled from the end of 2019, with first gas expected by the end of 2020. Net 2P reserves are estimated at more than 11 MMboe.
Neptune Energy operates in Norway, Germany, the Netherlands, United Kingdom, Algeria, Egypt, Australia and Indonesia. The company is 100 % owned by private investors.