Neptune Scraps Edison Deal
Neptune Energy announced Tuesday that it has agreed to terminate its deal to buy Edison E&P’s UK and Norwegian subsidiaries from Energean Oil and Gas.
Neptune revealed that it will pay a $5 million termination fee to Energean. The company added that it will “continue to pursue its pipeline of global development projects and other growth opportunities”.
The acquisition had been contingent on the closing of Energean’s acquisition of Edison E&P, which has not yet happened. Following Neptune’s announcement, Energean has said it remains committed to its acquisition of Edison E&P and added that it is working to complete the transaction “as soon as possible”. Energean also revealed, however, that it is in discussions with Edison S.p.A. to further amend its agreement to buy Edison E&P.
“Energean expects to enter into a formal amendment to the SPA [sale and purchase agreement] in which, inter alia, the Norwegian subsidiary of Edison E&P may be excluded from the perimeter of the transaction,” Energean said in a company statement sent to Rigzone on Tuesday.
“Energean will update the market if, and when, such formal amendment to the SPA is concluded with Edison, noting that there can be no certainty that an agreement on such terms can be reached,” the company added in the statement.
Neptune is an international independent exploration and production company with a regional focus on the North Sea, North Africa and Asia Pacific. Energean Oil & Gas is a London based independent exploration and production company that is focused on developing resources in the Mediterranean.
Edison S.p.A describes itself as a leading company in Italy and Europe. It operates in the supply, production and sale of electric power and gas, in the energy and environmental services and in the exploration and production of hydrocarbons.
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