Upstream

ExxonMobil to sell U.K. upstream central and northern North Sea assets


Published: Thursday February 25, 2021
By: Oilfield Africa Review
ExxonMobil has signed an agreement with HitecVision, through its wholly owned portfolio company NEO Energy, for the sale of most of ExxonMobil’s non-operated upstream assets in the United Kingdom central and northern North Sea. The sale price of more than $1 billion is subject to closing adjustments, and has additional upside of approximately $300 million in contingent payments based on potential for increase in commodity prices.
ExxonMobil to sell U.K. upstream central and northern North Sea assets

 share  Print Top

  • Sale price of more than $1 billion advances divestment plans, further focusing portfolio on advantaged assets
  • ExxonMobil retains extensive refining and fuels marketing, lubricants, petrochemicals production and natural gas marketing business in the U.K.

“We continue to high-grade our portfolios by divesting assets that are less strategic and focusing our investments on our advantaged projects that are among the best in the industry,” said Neil Chapman, senior vice president of ExxonMobil. “Our development plans that prioritize Guyana, the U.S. Permian Basin, Brazil and LNG are focused on increasing earnings potential and generating strong cash flow to fund future capital investments, reduce debt and maintain a reliable dividend.”

The agreement includes ownership interests in 14 producing fields operated primarily by Shell, including Penguins, Starling, Fram, the Gannet Cluster and Shearwater; Elgin Franklin fields operated by Total; and interests in the associated infrastructure. ExxonMobil’s share of production from these fields was approximately 38,000 oil-equivalent barrels per day in 2019.

ExxonMobil will retain its non-operated share in upstream assets in the southern North Sea, and its share in the Shell Esso gas and liquids (SEGAL) infrastructure that supplies ethane to the company’s Fife ethylene plant.

The transaction is expected to close by the middle of 2021, subject to regulatory and third-party approvals.

ExxonMobil has operated in the U.K. for more than 135 years and continues natural gas sales, refining and chemical operations, the marketing of lubricants and petrochemicals, and the marketing of fuels through a network of more than 1,300 independently owned Esso-branded retail sites.

Sponsored Partners

Discover our premium partners and explore their innovative solutions in the industry

Uncategorized
Saturday July 5, 2025
Offshore Vessels
Wärtsilä Signs a Five-Year Lifecycle Agreement with the Greek
Thursday July 3, 2025
Upstream
Shelf Drilling Secures Three-Year Contract with ONGC
Thursday July 3, 2025
Gas & Power
Serica Energy Resumes Production Operations at Triton FPSO
Wednesday July 2, 2025
Gas & Power
LNG Canada Exports First Cargo to Asia
Wednesday July 2, 2025
Continental News
Press Release-NCDMB to Champion Nigerian First policy
Tuesday July 1, 2025