Neptune Energy has agreed a conditional aggregate $4.9 billion sale of its assets, except those in Germany, to Eni International BV and Vår Energi ASA.
NEW PHASE
The deals, rumoured for several months, with the Italian major and its subsidiary are subject to, among other things, regulatory approvals with completion expected by the end of Q1 2024.
Neptune said that the three companies believed the proposed combinations would “enhance their technical and financial capabilities to provide energy security and participate in the energy transition”.
“Since Neptune’s formation in 2018, we have invested in the business and transformed the organisation, resulting in material improvements in safety, operational performance and cost efficiency,” added founder and executive chairman Sam Laidlaw.
“I am incredibly proud of Neptune’s achievements over the past five years – and the hard work and dedication of so many people across our organisation, who, together with our shareholders, have contributed to the growth and success of the business.
“This transaction offers a new and exciting phase for Neptune, with significant growth opportunities supporting energy security and the energy transition, which will benefit from Eni’s and Vår Energi’s larger scale and available resources.”
ASSETS
Neptune’s exploration and production operations lie across Europe, including the Cygnus field in the North Sea, North Africa and Asia Pacific.
During 2022, Neptune produced 135,000 net barrels of oil equivalent per day and had 2P reserves of 552 million barrels of oil equivalent as at 31 December 2022.
The company is owned by China Investment Corporation and funds advised by Carlyle Group and CVC Capital Partners and certain management owners.
Neptune’s existing shareholders will continue to own and operate its business in Germany as a standalone group.
Eni, whose headquarters are in Milan, has more than 32,000 employees in operations across 62 countries.
Vår Energi has more than 900 employees and equity stakes in 39 fields. Its headquarters are outside Stavanger in Norway.