Endeavour Agrees to Acquire UK Producing Assets
Endeavour International's subsidiary, Endeavour Energy UK Limited, has entered into an agreement with a subsidiary of Talisman Energy Inc. to purchase all shares of Talisman Expro Limited for US $414 million. Four producing asset areas in the Central North Sea section of the United Kingdom Continental Shelf are included in the transaction. Current net production from this asset group is approximately 9,200 barrels of oil equivalent per day. Endeavour estimates proven and probable reserves as of December 31, 2005 at 18 million barrels of oil equivalent.
"This is a transforming acquisition for Endeavour and represents a major milestone in executing the North Sea strategy we embarked upon two years ago," said William L. Transier, co-chief executive officer. "With the acquisition, we will add a position in three high quality oil and gas fields and one mature multi-field complex where we have identified several satellite exploration opportunities from our extensive regional seismic data base. Production and cash flow from these assets combined with our longer term rig and drilling services commitments provide a strong platform for Endeavour to conduct an active exploratory campaign and confidently pursue resulting development programs."
The producing assets to be purchased include the following net interests: Goldeneye - 7.5% Bittern - 2.422% Alba - 2.25% Caledonia - 2.83% Ivanhoe Rob Roy/Hamish - 23.455% Renee - 77.5% Rubie - 40.780%
In addition, a number of other non-producing assets are included, notably a 55.62% interest in the Rochelle discovery.
Endeavour expects to close this transaction before the end of the year
with a January 1, 2006 effective date. The purchase is subject to approval of
governmental regulatory authorities and third party consents. Financing
commitments have been obtained for the entire purchase price. On a pro-forma
basis, the company expects this transaction to be accretive to discretionary
cash flow per share.
Operates 8 Offshore Rigs
- Strong Upstream Performance from European Majors (Jul 28)
- PETRONAS, PetroVietnam Extend PM3CAA PSC in Malaysia-Vietnam Waters to 2027 (May 10)
- Repsol Significantly Scales Back Upstream Investment (Oct 15)
Company: Endeavour International Corporation more info
- Endeavour Halts Drilling Ops at East Rochelle (Feb 14)
- Endeavour: Transocean Semisub Mobilized to Rochelle Field (Jan 07)
- Endeavour CFO Resigns (Oct 29)