Neptune to Buy VNG Norge
UK independent Neptune Energy announced June 28 it has agreed to buy VNG Norge, the mostly Norway-based oil and gas producer, from German gas wholesaler VNG.
Neither disclosed purchase price but completion is expected in 4Q2018. Germany's VNG had been looking for a sale since, at least, the start of the year.
VNG Norge has assets in strategic locations including: the Greater Njord Area (with the operated Fenja development asset) and the North Sea/Utsira High area, with a stake in the Ivar Aasen asset. The company has a portfolio of 42 licences, five producing fields, and three development projects including Fenja (30% and operator), Bauge (2.5%) in Norway, and Solsort (13.8%) in Denmark.“We are extremely pleased to announce the signing of the SPA to acquire VNG Norge, which provides us with our first acquisition since the completion of our purchase of Engie E&P, and is directly in line with our strategy of consolidating our position in key jurisdictions with high quality and complementary assets," said Neptune's executive chairman Sam Laidlaw.
VNG said the deal is subject to approval by its supervisory board, as well as customary regulatory approvals. "We are now in a position to invest more focused into the development of new business areas such as digital infrastructure, biogas and local energy solutions and to further strengthen our gas infrastructure and gas trading businesses,” said VNG CEO Ulf Heitmuller. The company said its upstream arm had made "a very positive" contribution to VNG, but that it was confident it would thrive under its new owner.
VNG Norge is wholly-owned by VNG, which itself is 74.21% controlled by one of Germany's leading power companies EnBW.