Ithaca Energy has completed its acquisition of Cambo operator Siccar Point Energy.
The deal, announced in April for just shy of $1.5 billion, sees Ithaca become one of the largest players in the UK North Sea.
It includes holdings in two of the largest untapped fields in UK waters: Siccar Point’s 70% operated stake in Cambo and its 20% non-operated holding in Rosebank.
Both projects, in the West of Shetland, are huge fields by UK standards, with Cambo being a key battleground for climate campaigners during COP26.
Ithaca, owned by Israel’s Delek Group, bought Chevron’s North Sea business in 2019, is continuing a run of acquisitions.
Announcing the Siccar Point deal in April, it said it will pay an upfront $1.1 billion, along with contingent payments totalling up to $360m.
Ithaca also said the Siccar Point team and the assets will all transfer to Ithaca on closing, doubling the latter’s recoverable reserves, and will support production of 80,000 – 90,000 barrels of oil equivalent per day through the next decade.
Alongside Cambo and Rosebank, Siccar Point also holds stakes in the BP Schiehallion (11.75%) and the Equinor Mariner (8.89%) fields, both in the top 10 producers in the UK.
Ithaca chairman Gilad Myerson said: “Completion of the acquisition of Siccar Point marks a key milestone in establishing Ithaca as a leading North Sea E&P company with significant production, material growth potential and a long-life cycle portfolio.
“We are excited about the future and welcome our new colleagues from Siccar Point”.
Both projects have been under the radar of climate protestors, while Rosebank in particular has had some question marks raised in relation to the windfall tax.
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