Suncor has announced it’s set to acquire a 30 per cent stake in the U.K. North Sea Rosebank project. Under the terms of the agreement the Calgary-based company will make an initial payment on closing of $50 million dollars to purchase the participating interest from OMV (U.K.) Limited.
The acquisition is slated to close in the fourth quarter of this year and could see Suncor pay up to a total of 165 million to participate in a final investment decision in the project, if that is a move the co-venturers approve.
The Rosebank project is located 130 km northwest of the Shetland Islands in the U.K. North Sea and is considered one of the best and largest remaining undeveloped resources in the area.
Suncor said in a release the project is currently in the Front End Engineering and Design phase and has a design capacity of 100,000 barrels of crude oil and 80 million cubic feet of natural gas per day.
The project is expected to be complementary to Suncor’s existing UK portfolio. Subsequent to the successful close of this transaction, joint venture parties would be operator Chevron North Sea Limited (40 per cent), Suncor (30 per cent), OMV (U.K.) Limited (20 per cent) and DONG E&P (U.K.) Limited (10 per cent).
