RockRose to purchase Marathon Oil's North Sea operations for $140mn

By Bobby Clevenger

Houston-headquartered Marathon Oil Company announced this morning that it has entered into an agreement with RockRose Energy for the sale of its UK businesses Marathon Oil UK and Marathon Oil West of Shetland Limited. RockRose will pay a total of US$140mn for Marathon Oil’s operations, and the transaction will represent a complete regional exit for the Texan company.

Marathon Oil UK holds a 37 to 40% operated interest in fields in the Greater Brae Area, and Marathon Oil West of Shetland controls 28% of the Foinaven Field unit and 47% in Foinaven East.

At the end of 2018, Marathon’s UK operations carried carried 21.4mn barrels of oil equivalent of proved reserves in the United Kingdom, and 2018 production averaged approximately 13,000 barrels of oil equivalent per day.

SEE ALSO: 

"Today's announcement to divest our U.K. business represents our continued commitment to portfolio management and further concentrates our portfolio on high margin, high return U.S. resource plays," said Lee Tillman, Marathon Oil chairman, president and CEO. "I'd like to recognize the significant contributions of our UK employees – both current and past – who built and have operated the Brae Field for more than 30 years."

“This acquisition marks a major step change in the group’s reserves and production profile,” said Andrew Austin, RockRose executive chairman, according to the Financial Times. “Given the quality of these assets the board’s view is this is a good opportunity to make the transition to the role of operator.”

Share
Share

Featured Articles

Top 10 largest revenue generating family businesses in MENAT

From the UAE to Turkey, these family firms are the largest by revenue in MENAT and cover everything from energy to entertainment

Top 10 metaverse projects in the UAE, including world firsts

As Accenture predicts the metaverse will fuel a US$1 trilion commerce opportunity by 2025, we round up 10 pioneering metaverse projects in the UAE

PwC’s survey shows Middle East CEOs remain upbeat on growth

CEOs in the Middle East are far more optimistic about regional growth than those in North America and Europe, according to PwC’s annual survey

Opinion: “Why we must tackle the digital skills crisis"

Leadership & Strategy

5 Mins With: Kathryn Kaminsky Vice Chair Trust Solutions PwC

Leadership & Strategy

Survey: The Future of Cloud Security in the Middle East

Technology