REG - Harbour Energy PLC - UK North Sea acquisition

Harbour EnergyAnnouncement

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RNS Number : 2939L  Harbour Energy PLC  12 December 2025

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION

 

Harbour Energy plc

("Harbour" or the "Company")

UK North Sea acquisition

12 December 2025

 

 

Harbour Energy announces that it has entered into an agreement to acquire
substantially all the subsidiaries of Waldorf Energy Partners Ltd and Waldorf
Production Ltd, currently in administration, for $170 million 1  (#_edn1) .
The consideration will be funded through readily available sources of
liquidity.

 

The acquisition is immediately materially accretive to Harbour's free cash
flow and will support the competitiveness, resilience and longevity of
Harbour's UK business.

 

The acquisition is expected to:

§ Add oil-weighted production of 20 kboepd and 2P reserves of 35 mmboe 2 
(#_edn2)

 -  Increase Harbour's interest in its operated Catcher field to 90% (from 50%)
    and improve the financial stability of the joint venture partnership
 -  Provide a new production base for Harbour in the Northern North Sea with the
    addition of a 29.5% non-operated interest in the Kraken oil field

§ Unlock operational synergies through the integration of Waldorf's
non-operated portfolio into Harbour's UK organisation

§ Deliver significant financial synergies through:

 -    the release of an estimated $350 million 3  (#_edn3) of cash currently posted
      to secure Waldorf's decommissioning liabilities 4  (#_edn4) , leveraging
      Harbour's investment grade balance sheet
 -    the addition of Waldorf's UK ring fence tax losses(( 5  (#_edn5) ))

Completion is expected to occur during the second quarter of 2026 and is
subject to, among others, customary regulatory approvals and full and final
settlement of all creditor claims against Waldorf's subsidiaries.

 

Scott Barr, Managing Director of Harbour's UK Business Unit, commented:

"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.

 

"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."

 

Enquiries

Harbour Energy
plc
+44 (0) 203 833 2421

Elizabeth Brooks, SVP Investor Relations

Andy Norman, SVP Communications

Email: CorporateExternalCommunications@harbourenergy.com
(mailto:CorporateExternalCommunications@harbourenergy.com)

 

 

 1  (#_ednref1) The effective date of the transaction is 1 January 2025 and
the consideration of $170 million to be paid at completion reflects Harbour's
current estimate after customary adjustments

 2  (#_ednref2) Average production during H1 2025 and 2P reserves at YE 2024

 3  (#_ednref3) Reflects current estimate by Harbour based on existing cash
balances on account

 4  (#_ednref4) At 30 June 2025 Waldorf's decommissioning provisions per its
balance sheet stood at $720 million (pre-tax)

 5  (#_ednref5) As at YE 2024, Waldorf's estimated total ring fence tax losses
included those relating to corporation tax of around $2,450 million,
supplementary charge of around $1,800 million and Energy Profits Levy of
around $60 million

 

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