Neptune Energy Group said Aug. 13 it agreed to acquire U.K. Central North Sea development and exploration assets from a subsidiary of Apache Corp. (NYSE: APA).

The acquisition included Apache’s 35% working interest in the Seagull development and a 50% working interest in the Isabella prospect, both operated by Apache North Sea Ltd. The terms of the transaction weren't disclosed.

The Seagull development will consist of a multiwell subsea tieback project to existing nearby facilities that will commence during 2019 with first production expected prior to first-quarter 2022. Meanwhile, the Isabella prospect is considered one of the largest undrilled exploration opportunities in the Central North Sea, with planned drilling operations also commencing during 2019.

“In line with our strategy of expanding positions in key jurisdictions, Seagull and Isabella are both high-quality opportunities which complement our existing assets within the broader North Sea theatre of operations,” Neptune CEO Jim House said in a statement.

The acquisition provides Neptune with a low cost, near-term development in close proximity to existing infrastructure and a material undrilled prospect. In addition, the deal demonstrates the company’s commitment to the U.K. Central North Sea, which includes a series of recent acquisitions.

In June, Neptune announced an agreement to acquire VNG Norge AS’ portfolio of production, development and exploration assets on the Norwegian continental shelf. The agreement followed the closing of a $3.9 billion acquisition of a majority stake in Engie SA’s E&P business in February that included several fields in the U.K. and Norwegian North Sea.

“The signing of the sale and purchase agreement with Apache, which follows the announcement in June of our agreement to acquire VNG Norge, underlines our determination to continue building a leading international independent E&P company,” House added.

The transaction is expected to close this year, subject to the customary regulatory approvals.

Offshore