Ithaca Energy, Hess Sign Sale and Purchase Agreement

10 April 2011 (Last Updated April 10th, 2011 18:30)

Ithaca Energy has signed a sale and purchase agreement with Hess for the acquisition of a 28.46% interest in the Cook oilfield and a 7.41% interest in the Maclure oilfield. Cook, which is operated by Shell, is situated in block 21 / 20a in the Central North Sea, and Maclure, which is o

Ithaca Energy has signed a sale and purchase agreement with Hess for the acquisition of a 28.46% interest in the Cook oilfield and a 7.41% interest in the Maclure oilfield.

Cook, which is operated by Shell, is situated in block 21 / 20a in the Central North Sea, and Maclure, which is operated by BP, is located in block 9 / 19 in the Northern North Sea.

The firm has engaged with Sproule International to provide a Reserves Audit Opinion on Cook and Maclure, which is expected in 40 days’ time.

In consideration for this transaction, Ithaca will pay Hess $74.5m and transfer 10% in each of exploration blocks 42 / 25b, 43 / 16a and 43 / 21c (the SNS blocks) in the Southern North Sea.

Assessment of the acquisition by Lloyds Bank Corporate Markets shows that there might be an increase in Ithaca’s debt facility from $140m to $185m.