By Colin Kellaher

 

Exxon Mobil Corp. Wednesday said it agreed to sell its non-operated upstream assets in the U.K. central and northern North Sea to NEO Energy, a portfolio company of Norwegian private-equity fund HitecVision, for more than $1 billion.

The Irving, Texas, energy giant said the deal also includes an additional $300 million in contingent payments based on the potential for increases in commodity prices.

Exxon said the sale includes its interests in 14 producing fields in the North Sea, adding that it is keeping its non-operated share in upstream assets in the southern North Sea, as well as its stake in the Shell Esso gas and liquids infrastructure that supplies ethane to its Fife ethylene plant.

The company said its share of production from the fields it is shedding was about 38,000 oil-equivalent barrels a day in 2019.

Exxon said it expects to complete the transaction by the middle of the year.

 

Write to Colin Kellaher at colin.kellaher@wsj.com

 

(END) Dow Jones Newswires

February 24, 2021 07:39 ET (12:39 GMT)

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