Kerogen Capital (Kerogen) is to sell Zennor Petroleum Limited (Zennor) to NEO Energy Upstream UK Limited (NEO) and HitecVision for a total consideration of up to USD625 million, including deferred and contingent payments.

The transaction completion is subject to customary regulatory approvals.

Since Kerogen’s initial investment in 2015, Zennor has transformed from an early-stage exploration company into a full-cycle E&P player in the UK North Sea through successful appraisal and development of the Finlaggan field, two separate producing asset acquisitions and multiple licence awards in the offshore licensing rounds. In January 2021 Zennor and Kerogen announced its Net Zero Carbon Strategy.

Zennor’s deep technical expertise and entrepreneurial spirit enabled it to successfully identify attractive opportunities and create material value by delineating and significantly expanding its reserves and resources base, by implementing commercial and operational optimisation initiatives, and by successfully executing accretive bolt-on acquisitions. The Zennor team will be integrated into the NEO business at completion.

Read more/Source: Private Equity Wire