Petrogas NEO to Build on Total Aberdeen Presence



Petrogas NEO to Build on Total Aberdeen Presence
No redundancies are expected as a result of Petrogas NEO UK's deal to acquire several UK assets from Total.

No redundancies are expected as a result of Petrogas NEO UK’s deal to acquire several UK assets from Total, HitecVision has revealed in a company statement posted on its website.

In the statement, the company said Petrogas NEO UK intends to build on the current Aberdeen presence of Total and highlighted that Petrogas NEO UK has an aspiration to grow production to more than 100,000 barrels of oil equivalent per day.

“In the last few years we have clearly seen the creation of a ‘new European offshore’ in terms of ownership, investment and innovative financial models,” John Knight, senior partner of HitecVision, said in a company statement.

“Private equity backed companies and joint ventures are emerging as among the largest investors in Norway and the UK. Larger companies are focusing their assets in Europe on a few key assets or exiting the region,” he added.

Usama Barwani, CEO of Petrogas, said, “five years back, Petrogas stepped into Europe by acquiring Chevron’s assets in the Netherlands, opening a new international heartland with vision of consolidation and growth in the North Sea”.

“This acquisition in the UK is a significant step in line with a wider vision, adding material asset base, a diverse portfolio and valuable talent pool,” he added.

Petrogas NEO UK is jointly owned by Petrogas E&P UK Ltd, a subsidiary of Oman based Petrogas (a part of conglomerate MB Holding group) and NEO E&P, an investment platform of HitecVision.

Total revealed Wednesday that it had signed an agreement to divest several “non-core” UK assets to Petrogas Neo UK for $635 million. The transaction remains subject to approval from the relevant authorities and is expected to close in December.



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