Centrica Acquires Portfolio Of Total’s North Sea Assets

To acquire 28.96% interest in Maria Field, 25% interest in Seymour Field, 12.53% interest in Armada unit, 0.8688% in Everest Field, 12.65% interest in Alba Field, 12.4342% WI in Mungo & Monan, gaining 22 MMBOE 2P.

British Gas, a subsidiary of Centrica Plc, Windsor, U.K., (London: CNA) plans to acquire a nonoperated portfolio of producing assets and associated infrastructure in the Central North Sea from Total U.K. Ltd., a subsidiary of Total SA, Paris, (Paris: TOT) for a total cash consideration of US$388 million.

The portfolio includes working interest in seven producing fields in three major areas: Greater Armada, the Alba field and the Mungo and Monan cluster.

In the Greater Armada area, which is operated by BG Group, Centrica will gain 28.96% interest Maria Field, raising its holdings in the field to 64%; 25% interst in Seymour Field, raising to 43%; 12.53% interest in the Armada unit for a new total of 23.58% and 0.8688% in Everest Field.

In Alba Field, operated by Chevron Corp, Centrica will acquire 12.65% interest. In the Mungo and Monan, operated by BP Plc, the company will gain 12.4342% interest.

Centrica’s share in these fields has an estimated proved and probable reserves of 22 million barrels of oil equivalent (64% oil), increasing its reserves by approximately 5%.

Along with E&P, the company also acquires a 3.376% stake in the ETAP central processing facility and a 0.5684% interest in the Central Area transmission system, both operated by BP.

Centrica managing director Mark Hanafin says, "This acquisition in the North Sea provides a good fit with our existing portfolio and strategy, bringing strong cash flow and adding value for Centrica. It underlines our commitment to invest where we see attractive opportunities, securing future energy supplies for the UK.”