UK energy company BG Group has agreed deals to by ConocoPhillips' equity stakes in the Armada and Everest fields in the Central North Sea for $143 million.
BG will acquire ConocoPhillips’ 11.45% interest in the Armada field, increasing its stake to 58.22%. In the Everest field, BG will acquire a further 1.0134% interest taking its total stake to 59.3234%.
As part of the agreement, BG also agreed to purchase ConocoPhillips’ interest in Block 22/14a, which is located to the Southwest of Everest. Completion of the acquisition is expected in the first quarter of 2007.
Mark Carne, EVP of BG Europe and central Asia, said: The strengthening of our position in the Armada ‘hub’ will not only increase our equity share of production from the field but will also enhance value from the tie-backs of the Seymour and Maria fields and prospective future production from our Norwegian interests across the median line.
The increased stakeholding in Armada and Everest reinforces our commitment to the North Sea and continues our investment in the region.