Chevron sells North Sea business to Ithaca Energy for $2bn

The latter company’s portfolio is forecast to deliver around 80,000 barrels of oil equivalent per day

Net Hero Podcast

Ithaca Energy is buying the bulk of Chevron’s North Sea oil and gas business in a deal worth $2 billion (£1.6bn).

It will add 10 producing field interests to Ithaca’s existing portfolio and around 500 employees will be transferred to the company.

Ithaca, wholly-owned by Israel’s Delek Group, says its enlarged portfolio of 18 field interests in total is forecast to deliver around 80,000 barrels of oil equivalent per day.

The deal is expected to be completed by the end of the third quarter of 2019, following approval by the UK Oil and Gas Authority.

Les Thomas, Ithaca Energy CEO, said: “The acquisition of CNSL [Chevron North Sea Limited] is a significant step forward in the long term development of Ithaca Energy and underlines our belief in the North Sea, particular in the UK Central North Sea where the enlarged business will own a range of interests in a number of key producing assets.”