Austrian oil and gas group OMV has agreed to sell its entire ownership in its fully-owned subsidiary OMV UK to Siccar Point Energy, for up to US$1bn.
OMV has been active in the United Kingdom since 2004 and has interests in 22 licenses at various stages of production, development, appraisal and exploration in the British North Sea and in the area west of the Shetland Islands. The portfolio includes the Jade field (5.6% OMV) which is currently producing in the UK Central North Sea. The Schiehallion redevelopment (OMV share 11.8%) operated by BP and located West of the Shetland Islands is scheduled to start production in 2017. In Rosebank OMV holds a 20% share after the divestment of 30% to Suncor Energy in October 2016. Further projects – Cambo, Tornado and Suilven in the region West of Shetlands and Jackdaw in Central North Sea – are also part of the divested OMV portfolio in the UK.
The transaction includes a US$750m firm payment, and US$125m contingent payment related to the Rosebank Final Investment Decision. In addition, the parties agreed on a purchase price adjustment with respect to CAPEX to the effective date of 1 January 2016, resulting in a further consideration of US$125m.