NEO Energy acquires Zennor Petroleum

UK North Sea operator NEO Energy, part of Norway’s HitecVision, has announced the acquisition of independent oil and gas company Zennor Petroleum.

The acquisition comes just weeks after NEO agreed a $1bn deal to acquire ExxonMobil’s non-operated upstream assets in the UK central and northern North Sea.

The Zennor acquisition sees NEO take ownership of a portfolio of assets centred around the strategic Britannia and ETAP production hubs, adding around 40 mmboe of reserves and more than 90 mmboe of un-risked resource.

The transaction is priced at $625m, including deferred and contingent payments.

Russ Alton, CEO of NEO Energy, said: “This transaction provides a further immediate uplift to NEO’s production and resource base with several high-quality follow-on development opportunities. This follows closely on from our agreement with ExxonMobil and is a further demonstration of the scale of our ambition in the UKCS, with a clearly defined target of achieving 120,000 boepd in 2023. We are excited to welcome the Zennor team, whose capabilities complement those in NEO today. Our combined teams will operate a large asset portfolio providing us with greater control and flexibility to maximise value and to invest in further expanding our asset base in the UKCS.”

Grant Rowles

Grant spent nine years at Informa Group based in London, Sydney, Hong Kong and Singapore. He gained strong management experience in publishing, conferences and awards schemes in the shipping and legal areas, working on a number of titles including Lloyd's List. In 2009 Grant joined Seatrade responsible for the commercial development of Seatrade’s Asia products. In 2012, with Sam Chambers, he co-founded Asia Shipping Media.
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