Oil and gas producer Okea announced on Monday that it had agreed to acquire a 28% stake in Norway’s Statfjord production licence from state-controlled Equinor for $220 million.
“In addition, the agreement contains contingent payment terms applicable for 2023-25 for certain thresholds of realised oil and gas prices,” the company said in a statement, cited by Reuters.
The agreement is expected to bolster Okea’s total production by 13,000 to 15,000 barrels of oil equivalent per day this year and by 16,000 to 20,000 barrels of oil equivalent per day in 2024.
Meanwhile, in a separate statement, Equinor said the agreement was part of its portfolio optimization, while it would continue to operate the Statfjord field with a 54.7% stake.
The shares of Okea ASA (OKEA) were last gaining 5.63% (NOK 1.50) on Monday to trade at NOK 28.15 in Oslo.
The oil and gas producer’s total market cap now stands at NOK 2.936 billion.
The shares of Okea ASA have retreated 17.69% so far this year, following a 35.18% gain in 2022.