Japex UK deal is Ithaca Energy’s second acquisition this year
UK independent Ithaca Energy has completed the acquisition of Japex UK (JUK), a subsidiary of Japan Petroleum Exploration, in a $193 million deal that increases its share in the Seagull oilfield in the UK North Sea.
The deal takes Ithaca’s interest in the field from 35% to 50%, adding production of around 4000 to 4500 barrels of oil equivalent per day this year, the company said on Monday.
“We are delighted to complete the acquisition of JUK, in line with our estimated completion date, illustrating the Group’s proven execution capabilities,” said Ithaca executive chairman Yaniv Friedman.
“The highly accretive acquisition demonstrates the Group’s continued delivery of our low-risk inorganic growth strategy, adding incremental production, reserves and cash flow from a high-quality asset at attractive investment metrics.”
Seagull, a subsea tie back to the BP-operated central processing facility of the Eastern Trough Area Project, is located in the central North Sea and began production in 2023.
The deal, announced in March, was the first of two acquisitions made this year, with the company unveiling plans to increase its stake in the Cygnus field in the UK North Sea in May.
This year’s deals, combined with last year’s merger with Italian supermajor Eni’s UK business, have turned Ithaca into the UK’s largest independent operator.
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