NORTH Sea-focused Serica Energy has signalled it is confident of completing a big acquisition from BP although the deal has hit complications amid the stand off between Donald Trump and Iran.
Serica agreed in November to buy a portfolio from BP that includes a stake in the Rhum field for up to £52m.
As the Iranian oil company has a 50per cent interest in Rhum, Serica and BP have had talks with US authorities to prevent the transaction falling foul of sanctions imposed by the country on Iran. They extended the timetable for completion of the deal recently by one month, to early November.
As it posted a first half loss of $8.4m (£6.5m) yesterday, Serica said it had achieved good progress on all elements of the transaction to acquire BP’s interests in the Bruce, Keith and Rhum fields. Completion of the deal is targeted for November 1.
Led by executive chairman Tony Craven Walker, Serica recorded $4.8m transaction and transition costs in respects of the BKR assets in the six months to June 30.
Sales revenues fell to $4.6m from $21.9m last time as production from the Erskine field was suspended following a blockage on the related export pipeline. A new 26 kilometre section of line is expected to start operating shortly.
Serica made $10.3m profit in the first half of 2017.
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