Siccar Point sees OMV UK’s North Sea portfolio as ‘strategic fit’
Following an announcement on Tuesday regarding the sale of the wholly owned UK subsidiary by the Austrian oil and gas company OMV, the buyer Siccar Point Energy on Wednesday confirmed the $1 billion worth acquisition stating that OMV UK is a “strategic fit” for Siccar Point.
Aberdeen-based Siccar Point is a North Sea focused E&P company backed by funds managed by Blue Water Energy and Blackstone Energy Partners.
OMV UK, which is wholly owned by OMV, is headquartered in London. Its asset portfolio, concentrated in the West of Shetlands region of the UK Continental Shelf, comprises current production, future developments and exploration acreage. Key assets include an 11.8 % interest in the Schiehallion oil field and a 20.0% interest in the Rosebank field. Other assets include a 5.6% interest in the producing Jade field and several West of Shetland discoveries that would be operated by Siccar Point.
“We identified OMV UK as a strategic fit for Siccar Point given the scale, diversity, and quality of its asset portfolio,” Siccar Point CEO said.
Siccar Point noted that closing of the deal is subject to conditions, including regulatory approvals. Siccar Point previously acquired an 8.9% interest in the Greater Mariner Area, including the Mariner oil field, in August 2016.
Jonathan Roger, CEO of Siccar Point, commented: “We identified OMV UK as a strategic fit for Siccar Point given the scale, diversity, and quality of its asset portfolio. This acquisition turns Siccar Point into a full-cycle oil & gas company with a substantial and high-quality UK North Sea portfolio. We are very excited about this next stage in the company’s growth.”
Mustafa Siddiqui, Managing Director at Blackstone, said: “We are delighted to support Siccar Point in acquiring OMV UK. The combination of low-cost production in the near term from Schiehallion and long-term growth from the development of its other assets is very attractive, especially in the hands of a very capable management team with strong capital backing.”
Graeme Sword, Partner of Blue Water Energy, said: “The combination of OMV UK with Mariner provides Siccar Point with interests in several of the UK’s largest oil & gas fields, with decades of future production. This deal epitomises the vision we all had for Siccar Point back in 2014, and we look forward to continuing our support of the company as it builds on this important step.”