UK-based energy services provider Hunting has completed the acquisition of Enpro Subsea, a provider of production optimisation services for oil and gas industry.

Under the terms of transaction agreement, Hunting will pay a consideration of $33m, along with an estimated maximum earn out of $3m based on EBITDA performance in 2020.

Hunting chief executive Jim Johnson said: “The acquisition of Enpro further strengthens Hunting’s subsea offering and adds a high technology product group to our portfolio.

“The offshore market continues to strengthen and we look forward to providing a wider technology offering to our customers who continue to seek lower cost, enhanced production and more efficient solutions to the production of oil and gas.”

Hunting bought Enpro Subsea from Enpro management and Energy Ventures Private Equity

Established in 2011, Enpro currently employs 40 employees and has subsidiaries in Ghana, Norway and the US. The company has been developing subsea production technologies, which are being adopted by offshore operators in the oil and gas industry.

The company offers low cost, flexible field development solutions focused on delivering production enhancing technologies, including flow access modules, flow intervention services and decommissioning, to enhance recovery from oil and gas wells.

The flow access module technology is said to support the use of standard subsea SPS hardware, to shorten the development timescales and rapid production of hydrocarbons.

Enpro said that its business model is focused on technology and product development, with all manufacturing outsourced to third parties.

The company intends to use Hunting’s existing global manufacturing platform to further commercialise the technology across all of its regional operating hubs, and extend its current market reach through Hunting’s customer base.

Enpro CEO Ian Donald said: “Enpro’s technology offering has been utilised by major operators in key offshore development basins across the world.

“In joining the Hunting group we look forward to utilising its global operating platform to develop new customers and sales and to capitalise on this growing market segment.”