Energean Oil and Gas plc terminated its agreement with Neptune Energy for the acquisition of its Edison Exploration and Production’s (E&P) UK and Norwegian subsidiaries, according to a press release.

After backing out of the deal, Neptune will have to pay a $5 million termination fee to Energean. 

Energean also stated that it is in talks with Edison to further amend its sale and purchase agreement (SPA) and restructure Edison E&P transaction to exclude the Norwegian subsidiary of Edison E&P. The statement remarked that such an amendment is not guaranteed.

Accordingly, Energean will hold 25% working and economic interest in the 250 million barrels of oil equivalent (mmboe) Glengorm discovery, and 10% in the Isabella discovery that was announced in March .

Neptune was initially planning to buy Edison E&P’s UK and Norwegian subsidiaries for $250 million with a contingent consideration of up to $30 million. In April, Energean and Edison agreed to exclude Edison’s Algeria assets from the scope of acquisition.