Pandion Acquires Additional Interests in North Sea Exploration Licenses
Private equity-backed Pandion Energy AS has entered into an agreement with a wholly-owned subsidiary of Wintershall Dea GmbH to acquire an additional 2.5% working interest in PL 820 S (Iving discovery) and a 15% working interest in PL 617 (Eidsvoll prospect) located in the Norwegian North Sea. The terms of the transaction have not been disclosed.
Upon completion, Pandion will hold an increased 12.5% in PL 820 S, with the MOL Group holding a 40% operated interest, leaving Lundin Energy AB with 40% and Wintershall Dea with a reduced 7.5% interest. In PL 617, Pandion will hold a 15% interest, the MOL Group will hold a 40% operated interest, with OMV AG holding 30%, and Wintershall Dea holding a reduced 15% interest.
PL 820 S covers an area of approximately 48 sq. km in the North Sea, and is situated north/north-west of the Balder and Ringhorne fields. The license primarily targets the Skagerrak formation and the Eocene/Paleocene age injectite reservoir sands. It contains the Evra and Iving discoveries, which were drilled in March 2020. Work plans include an appraisal program for 2021.
PL 617 covers an area of approximately 112 sq. km, and is situated east/north-east of the Valhall and Hod fields, where Pandion holds a 10% interest. The license expires in February 2022 and contains the Eidsvoll prospect. Work plans for 2021 include the drilling of the Eidsvoll exploration well targeting the Upper Jurassic lobe complex.
Oslo-based Pandion Energy is backed by an equity investment from funds managed by private equity firm Kerogen Capital, and is focused on exploration, development and production activities on the Norwegian Continental Shelf. The company was established in November 2016 to effect a management buyout of Tullow Oil Plc’s Norwegian subsidiary, Tullow Oil Norge AS.
The transaction is subject to customary closing conditions, including receipt of approval by the Norwegian Ministry of Petroleum & Energy, and has an effective date of January 1st, 2021.