Tuesday, Jul 08, 2008
(This item was originally published Monday.)
DUBAI (Zawya Dow Jones)--Abu Dhabi National Energy Co., or Taqa, said Monday it bought the assets of Shell U.K. Ltd. and Esso Exploration and Production Ltd. in six oil fields in the northern North Sea as the company expands its upstream activities in the area.
Taqa's wholly-owned subsidiary Taqa Bratani Ltd. also bought assets in two non-operated subsea tie-backs from Shell and Esso, the company said in a statement posted on the Abu Dhabi bourse Web site.
"We believe that the North Sea offers significant potential for companies like Taqa and we will be making a significant investment over the coming years to extend the productive life and commercial viability of these assets," Taqa's chief executive officer Peter Barker-Homek said in the statement.
The fields' average daily production of about 40,000 barrels of oil equivalent "represents a significant increase to Taqa's existing footprint," Taqa said.
In the past two years, Taqa bought BP PLC's (BP) Dutch gas exploration and production assets and Talisman Energy Inc.'s (TLM) Brae assets in the U.K. North Sea.
Taqa focusses on investments in oil and gas exploration and production, pipeline, storage and liquefied natural gas regasification, and power generation projects.
The Shell and Esso deal remains subject to regulatory approvals and third party consents, adding that the closing of the deal is expected to occur "within the fourth quarter of 2008," Taqa said.
"The sale includes all equity, associated infrastructure and production licenses relating to the vendor's interests in the Tern, Eider, Cormorant North, South Cormorant, Kerstrel and Pelican fields and related sub-sea satellite fields," according to the statement.
Taqa, which is majority-owned by the Abu Dhabi government, currently has assets worth about $20 billion.
-By Majdoline Hatoum, Dow Jones Newswires; +9714-3644964; majdoline.hatoum@dowjones.com
Copyright (c) 2008 Dow Jones & Company, Inc.
(END) Dow Jones Newswires
08-07-08 0515GMT
