Total sells North Sea gas terminal and pipelines for £585m

Total sells North Sea gas terminal and pipelines for £585m

North Sea Midstream Partners is to pay £585m ($905m) for Total’s stake in the Shetland Island Regional Gas Export System (SIRGE) and Frigg UK (FUKA) gas pipelines plus the St Fergus Gas Terminal in the North Sea.

“The sale of these midstream transportation assets is another example of Total’s strategy of active portfolio management and the strong potential to unlock value from a range of infrastructure assets,” said Patrick de La Chevardière, Total’s CFO.

Once the acquisition has been completed, the assets will be operated and maintained by UK-based px Group.

The St Fergus Gas Terminal, located near St Fergus in Aberdeenshire, Scotland, receives around 25% of the UK’s gas and until now has been owned outright by Total.

The site comprises a three-train processing plant with a capacity of 2,648m cbf of gas per day, currently serves over 20 fields in the North Sea.

The 362-kilometre-long FUKA pipeline delivers gas from some 20 fields in the northern North Sea to the terminal at St Fergus gas terminal. Total is selling its 100% interest in the pipeline to North Sea Midstream Partners.

The 234-kilometre-long SIRGE gas pipeline links the Shetland Gas Plant to the FUKA pipeline. Total holds a 67% operated interest in the SIRGE pipeline alongside Dong E&P (UK), which owns 18.3%; Chevron North Sea Limited, which has 7.2%, and OMV (UK)’s 7.5% stake.

 

Holly Birkett

Holly is Splash's Online Editor and correspondent for the UK and Mediterranean. She has been a maritime journalist since 2010, and has written for and edited several trade publications. She is currently studying for membership of the Institute of Chartered Shipbrokers. In 2013, Holly won the Seahorse Club's Social Media Journalist of the Year award. She is currently based in London.

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