Harbour Energy to Buy Waldorf Subsidiaries for $170 Million
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Article content(Bloomberg) — Harbour Energy Plc, one of the largest independent oil and gas firms in the UK, agreed to pay $170 million for all the subsidiaries of Waldorf Energy Partners Ltd. and Waldorf Production Ltd.Sign In or Create an AccountEmail AddressContinueor View more offersArticle contentThe deal will add 20,000 barrels of oil equivalent a day to production and increases the company’s share of the Catcher field in the North Sea to 90% from 50%, Harbour Energy said in a statement on Friday. The subsidiaries are currently in administration and the acquisition will release an estimated $350 million of cash posted to secure Waldorf’s decommissioning liabilities, it added.Article contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Article contentArticle contentHarbour Energy shares gained as much as 7.6% in London trading, the most since August.Article contentTop StoriesGet the latest headlines, breaking news and columns.There was an error, please provide a valid email address.Sign UpBy signing up you consent to receive the above newsletter from Postmedia Network Inc.Thanks for signing up!A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Article contentMany oil and gas companies, already suffering declines in production at mature fields in the British North Sea, have been reassessing their activities after a UK windfall tax was extended and increased several times. Harbour Energy, which completed the acquisition of Wintershall Dea’s non-Russian assets last year, operates in nine countries, including in Norway, Germany, Argentina, Mexico and North Africa. Article content“This transaction is an important step for Harbour in the UK North Sea, building on the action we’ve already taken to sustain our position in the basin given the ongoing fiscal and regulatory challenges,” said Scott Barr, managing director of Harbour Energy’s UK business unit.Article contentHarbour Energy accounts for about 15% of UK’s total oil and gas production, pumping 156,000 barrels of oil equivalent daily in the first nine months of the year. Article contentThe sale could be a step toward ending Waldorf’s struggle to get a debt restructuring over the line. In August, the UK’s High Court of Justice in August rejected a plan proposed by the company on the basis that it had “not discharged the burden on it of showing the plan is fair and that it is appropriate, just and equitable.”Article contentBut as part of Friday’s sale announcement, Waldorf said it had entered into an agreement with some of its bondholders to support the transaction and highlighted that it provides a “pro-rata sharing of the restructuring benefits between all affected creditors.”Article content(Updates with additional details starting in fifth paragraph.)Article contentTrending Canadian households boost their wealth to another record high of $18.4 trillion with ‘supercharged' financial asset growth Wealth CRA penalized taxpayer for repeated failure to report income Personal Finance This generation of Canadians is rapidly increasing its wealth and may soon unseat the boomers Wealth Mortgagors continue to roll the dice with variables Mortgage Rates 'Wild West out there': Cargo theft reports soar in Canada, but that's just the tip of the iceberg News Share this article in your social networkCommentsYou must be logged in to join the discussion or read more comments.Create an AccountSign in Join the Conversation Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information. Canadian households boost their wealth to another record high of $18.4 trillion with ‘supercharged' financial asset growth Wealth CRA penalized taxpayer for repeated failure to report income Personal Finance This generation of Canadians is rapidly increasing its wealth and may soon unseat the boomers Wealth Mortgagors continue to roll the dice with variables Mortgage Rates 'Wild West out there': Cargo theft reports soar in Canada, but that's just the tip of the iceberg News