Norwegian energy major Equinor has agreed to acquire Wellesley Petroleum’s stakes in five discoveries in the Troll, Fram and Kvitebjorn area of the Norwegian North Sea, the state-controlled company announced on Wednesday.
The Troll and Fram area is a mature part of the Norwegian continental shelf but has emerged as an “exploration hotspot” in recent years, with Equinor making seven discoveries in the area since 2019.
Equinor said the transaction enables it to further strengthen its position the area, increasing its shares in the Grosbeak find by 18.8%, in Toppand by 45%, Atlantis by 40%, and Rover Nord and Rover Sor by and 20%.
“These discoveries can be put into production with low costs and low CO2 emissions by being connected to the suitable infrastructure in the area,” said Equinor’s executive vice president for exploration and production in Norway, Kjetil Hove.
“Discoveries close to infrastructure are important for our ambition to maintain production at current levels from (the Norwegian continental shelf) beyond 2030,” he added.
Wellesley chief executive Chris Elliott said the agreement allows Wellesley “to crystallise value and refocus the (company’s) portfolio towards our core exploration acreage”.
“We look forward to working with Equinor and other partners as we embark on further drilling campaigns in our exciting exploration portfolio over the course of the coming years,” he added.
The value of the acquisition was not disclosed.
The deal has an effective date of 1 January 2023, subject to customary government and licence approvals and is expected to be completed during the first half of this year.