Serica Energy expands in North Sea with asset purchase from Parkmead Group
12/12/2024 07:55
Dec 12 (Reuters) - North Sea-focused Serica Energy
SQZ.L said on Thursday it would buy exploration and production
assets from Parkmead Group Plc PMG.L for an initial
consideration of 5 million pounds ($6.4 million).
Under the deal, Serica will acquire all shares in Parkmead
(E&P) Ltd, which includes a 50% stake in the Skerryvore project
license in the central North Sea and a 50% working interest in
Fynn Beauly license, a significant undeveloped oil field in the
UK.
An additional deferred 9 million pounds will be paid over
the next three years, along with contingent payments based on
certain development milestones, Serica said.
These payments will be made once Serica receives approval
from the North Sea Transition Authority (NSTA) for a field
development plan (FDP) for Skerryvore or Fynn Beauly.
Serica said the deal offers flexibility for future projects
and strengthens the company's position in Skerryvore by
increasing its stake in the licence. The company currently owns
20%, and after the deal, will own 70% and take on the role of
operator.
The deal is expected to close in the first half of 2025.
($1 = 0.7830 pounds)
(Reporting by Arunima Kumar in Bengaluru; Editing by Eileen
Soreng)
((Arunima.Kumar@thomsonreuters.com; Twitter: https://twitter.com/Aru_Kumar94
;))