News listings

energy-pedia general news

United Kingdom flagUnited Kingdom

Europe / Caspian / CIS >>> United Kingdom

UK: Ithaca Energy completes the USD2 billion acquisition of Chevron North Sea


11 Nov 2019

Photo - see caption

Ithaca Energy, a wholly owned subsidiary of Israel's Delek Group, has completed the $2 billion acquisition of Chevron North Sea Limited ('CNSL'). The transaction provides a material and important step up in the scale and breadth of the Company’s asset base, adding ten additional producing field interests to the existing portfolio, along with a wider portfolio of investment opportunities from which to grow the future cashflows of the business and accelerate monetisation of the Company’s existing UK tax allowances.

Taking into account the interim period cashflows generated by CNSL since the transaction effective date of 1 January 2019, the $200 million deposit paid at signing of the transaction and conventional working capital adjustments, the price payable at completion of the acquisition was $1.5 billion.

Les Thomas, Ithaca Energy CEO, commented:

'Completion of the CNSL acquisition marks a major milestone in the long term development of Ithaca Energy. The significantly enlarged operations provide an excellent platform from which to maximise the value of our high-quality asset portfolio and establishes the Company as a leading UK North Sea oil and gas producer. We have a highly experienced organisation that is well set-up to deliver upon our investment plans and secure the future success of the business.  With this exciting backdrop, we look forward to contributing to the industry’s objective of maximising economic recovery for the UK North Sea over the years to come'.

Asi Bartfeld, Delek Group CEO, commented:

'With completion of the acquisition, we are delighted to have made a significant step towards our strategic objective of building the Delek Group’s position as a world class E&P business. The acquisition has established Ithaca Energy as a leading UK North Sea oil and gas company with a strong outlook and the opportunity set from which to deliver material value to the Delek Group and enhance its presence in the global energy markets.'

Additional Information

The net drawn debt of the Company as of the completion date was $1.6 billion, which takes into account the overall debt refinancing that has been completed in association with the transaction.

The Company will provide further information on the combined business when it announces its financial statements for the three quarters ending 30 September 2019 at the end of November. Full year 2019 consolidated financial results, incorporating the contribution of CNSL from the transaction completion date, will be issued at the end of March 2020 and a conference call for investors will also be held on the same day, in line with the terms of the senior notes indenture.

The following table summarises the producing field interests that have been acquired as part of the transaction.

Photo - see caption

Following completion of the transaction, Chevron is providing the security and remains financially responsible for the decommissioning obligations of CNSL in respect of its interests in the Heather and Strathspey fields and the Cambo exploration well.

Original article link

Source: Ithaca Energy





Bookmark and Share


A global information service for upstream oil and gas opportunities - divestitures, farmins and farmouts and licensing rounds.


Subscriber Only Deals

Current deals: 1708
Completed deals: 5291

Company Profiles

Current Company Profiles: 2656

Corporate Activity

Current Corporate Activity articles: 3376

Companies Looking

Current number of articles: 428

Company Sales

Current Company Sales articles:1388

Geostudies

Current Geostudies articles: 670

How to subscribe

energy-pedia Jobs

RSS Feed Widget
See all jobs...


energy-pedia Databank

The energy-pedia databank contains links to information on the world financial and energy markets, including share prices, oil and gas prices and the global stock exchanges. Read more...



energy-pedia Glossary

A list of commonly used terms in the oil and gas industry. Read more...

Subscribe

Subscribe to the FREE
energy-pedia Daily Newsletter
Subscribe

OPC
Union Jack Oil 149
KL Publishing
count geophysics
Bayphase
energy365
Geoespace
SLR Consulting logo
Rose & Assocs 149
Government of South Australia
About energy-pedia

energy-pedia news is a FREE news service written and edited by E and P professionals for E and P professionals.

We don't just report the news, we give you the technical background as well, with additional information derived from our unique energy-pedia opportunities service.
Contact us

energy365 Ltd

238 High Street
London Colney
St Albans
UNITED KINGDOM

Tel: +44(0)1727 822675

Email: info@energy-pedia.com