Cairn Energy to acquire Norway’s Agora Oil & Gas for $450 mn
03 Apr 2012
British oil explorer Cairn Energy yesterday said that it will acquire Agora Oil & Gas, for $450 million in order to expand its drilling activity in the UK and Norway.
Stavanger, Norway-based Agora, owned by investment trust RIT Capital Partners, Lord Jacob Rothschild's family interests, and bu the management, holds interest in several blocks in the North Sea.
Agora will add drilling activity to Cairn's 2012 exploration and appraisal programme, with nine wells, eight firm and one contingent, scheduled to be drilled in the UK and Norway in 2012.
The proposed acquisition includes Agora's 15-per cent stake in the Catcher area planned for development and a 20 per cent interest in the Tybalt discovery, which both have further drilling programmes planned this year.
Cairn estimates that Agora has 22 mmboe in 2C contingent resources (95per cent oil) and a growing prospective resource currently estimated at 49 mmboe, held through 10-30 per cent non-operated interests in 11 licences.
Agora has three operating wells, two exploration wells and one appraisal well.