Germany's RWE Dea has completed a series of acquisitions, taking a majority stake in the Breagh field area of the UK North Sea.
RWE has taken a 70% stake and Sterling Resources retains a 30% ownership.
The estimated resources make Breagh and the surrounding fields the largest undeveloped natural gas discovery in the southern North Sea, RWE said.
RWE COO Thomas Rappuhn said that the acquisition was a major milestone and initial gas production is expected by the end of 2012.
“Production from this field will contribute significantly to our overall aim to double RWE Dea’s natural gas and oil production within the next few years,” Rappuhn said.
The Breagh gas field is located in Blocks 42/12a and 42/13a of the UK Southern North Sea, 86km from the Cavendish gas field, which is also operated by RWE Dea.