Oman’s Petrogas and HitecVision are set to acquire some of Total’s North Sea oilfields in the UK for $635 million, Reuters reported.
Talks are focused on a portfolio of Total oilfields, including Dumbarton, Balloch, Lochranza, Drumtochty, Flyndre, Affleck, Cawdor and minority stakes in the China National Offshore Oil Corporation (CNOOC) operated Golden Eagle, Scott, and Telford fields.
The French company’s oilfields in the British North Sea are set to produce 25,000 barrels of oil equivalent per day (boe/d) in 2019.
The deal will be carried through a subsidiary of the two groups called Petrogas NEO UK, as part of the plan to increase its production to more than 100,000 boe/d within two to three years.
“The current acquisition provides a fundament for further expansion through organic and inorganic activities,” according to a company statement.
Total’s overall production in Britain was 185,000 b/d last year with natural gas accounting for more than half of production.