United Oil & Gas and Quattro Energy have announced an additional extension to their £3.2m deal, in which United will sell its Central North Sea licences to Quattro. Under the latest extension, the completion date has been moved from 6 December to 28 February.
The licenses included in the sale contain the Maria discovery – a site thought to contain around six million barrels worth of oil – and the Zeta prospect, where there is thought to be the equivalent of 29 million barrels of oil.
Following its sale of the licenses, United is expected to turn its attentions to its projects in Egypt and the Mediterranean – regions where the company anticipates it will gain most of its revenue moving forward.
According to a statement from the company, the extension is to give sufficient time for all deal conditions to be met. Initially announced in July this year, the deal was slated to be finalized by September, though it was then pushed back to December.
In a statement on 7 December, United Oil and Gas commented: “The long stop date for satisfaction of the SPA conditions was 6 December 2021. The parties to the SPA have agreed an extension of this long stop date to 28 February 2022 to allow additional time for the SPA conditions required for completion. A further update will be provided to the market in due course.”
Quattro Energy is a recently established group, founded as a North-Sea focused company in April this year with a view to develop a pipeline of oil and gas assets in the region.
The acquisition of United’s licenses is the group’s first significant move in establishing itself in the industry, though the team is made up of industry members experienced in the oil and gas sector – such as previous Ithaca CFO Brad Gunn, and previous Petronor and African Petroleum CEO Jens Pace.