Middle East

Equinor sells shares in Greater Ecofisk Area,

Norwegian oil and gas company Equinor will sell its non-operating shares in the Greater Ecofisk Area and a minority stake in Martin Linge Offshore Field off the coast of Norway to Sval Energi for $ 1 billion in cash and accidental oil-related payments. Agreed to. And gas prices in 2022 and 2023.

This agreement includes 7.604% of the Ekofisk Area License PL018, PL018B, PL275, which includes the Ekofisk, Eldfisk and Embra oil fields, and 6.63922% of the North Sea Tor unit.

The sale of shares in the Greater Ekofisk Area marks the exit of Equinor from the Greater Ekofisk Area operated by ConocoPhillips in the North Sea.

The Ekofisk oil field became the first production area in NCS in 1971 and is expected to continue production in 2050.

The transaction also includes the sale of Equinor’s interests in Norpipe Oil AS (18.5%), which is part of the infrastructure that transports oil from the Greater Ecofisk region to land.

Greater eco-fisk area. Photo: ConocoPhillips.

For Martin Ringefield, Last year, it came online many years laterEquinor will sell a 19% stake to Sval Energi, retaining 51% ownership and control of the North Sea Field.

The agreement includes US $ 1 billion in cash consideration and a conditional payment structure related to realized oil and gas prices for both 2022 and 2023 assets.

“This transaction optimizes our oil and gas portfolio in line with Equinor’s strategy and gains value from several assets,” said Rune Nedregaard, Senior Vice President of Exploration Productions in Southern Norway.

“Ekofisk has played an important role in the oil and gas journey between Norway and Equinor as the first producer of the Norwegian continental shelf. The Greater Ekofisk area is an area with limited participation of Equinor. Therefore, to redirect capital to areas during high-priced periods and to other core areas of the business, “says Nedregaard.

“We are also pleased to announce that this transaction involves bringing Sval Energi as a partner in the Martin Linge field and creating more value from this asset. Martin Ringe will be in production in June 2021. It started and is now producing very efficiently. We look forward to working with Sval Energi further to create more value from Martin Linge. “

The transaction is expected to close in the second half of 2022.

This transaction fits well with our growth ambitions and portfolio. After the transaction and the acquisition of Spirit Energy Norway are completed, Sval will reach 100,000 barrels of oil equivalent per day in 2023 and will continue to grow for the next few years. We look forward to working with our partners to create more value from these assets. ” Nikolai appleCEO of Sval Energi.

With the acquired assets, Sval will add 30.000 barrels of oil equivalent per day to its portfolio. This transaction represents the seventh acquisition since Sval was founded in 2019.

https://www.oedigital.com/news/496412-equinor-sells-stakes-in-greater-ekofisk-area-martin-linge-field-to-sval-energi-for-1-billion Equinor sells shares in Greater Ecofisk Area,

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