The Abu Dhabi National Energy Company (Taqa) said its wholly-owned subsidiary, Taqa Bratani Limited has completed a $631 million deal to buy seven oil fields in the North Sea from Shell UK and Esso Exploration and Production Limited.

The deal includes 100 per cent interest and operatorship of the Tern, Kestrel, Eider, Cormorant North, South Cormorant and Pelican Fields.

It also includes a combined 26.73 per cent interest in the Dana-operated Hudson field, together with a 16 per cent interest in the Brent System and a 24 per cent interest in the Sullom Voe Terminal.

Taqa Bratani’s development program consists of a capital expenditure commitment of £500 million ($747 million) to be made over the next three years.

In addition, Taqa Bratani will assume responsibility for the future decommissioning liabilities relating to these fields.

Commenting on the acquisition, Peter Barker-Homek, Taqa's chief executive officer, said the completion of the transaction was another important milestone for the company.

'Taqa is now an important producer in the UK North Sea and will play a significant role in its future; driving development, creating employment and stimulating prosperity in the area.'

'The financial commitment we are making today will extend the productive life of these fields and, when combined with our existing UK and Dutch North Sea base, brings us one step closer to our strategy of building a diverse global portfolio of energy businesses across the value chain,' he opined.

'These assets are undoubtedly a great addition to our existing operations and provide Taqa with scale. However, the value of the people we now have within our group as a result should not be underestimated, Barker-Homek noted.

'More than three decades of the North Sea oil and gas industry has created a concentrated workforce with world class skills and a depth of experience which we intend to draw from as we seek to increase our European asset base and workforce,' he added.

Taqa has picked Wood Group Engineering (North Sea), a subsidiary of John Wood Group, for the provision of operating and maintenance activities and to act as duty holder for Taqa’s offshore assets in the Northern North Sea.

The company plans to assume the role of duty holder for these assets within 9 to 18 months, with Wood Group continuing to be Taqa’s operating and maintenance contractor.-TradeArabia News Service