March 19 (Bloomberg) -- OMV AG, Austria’s biggest oil and gas company, bought stakes in four licenses in the West of Shetland area off the U.K. in a $50 million deal with Hess Corp., increasing its share in the Cambo field.
The Vienna-based company will get 60 million barrels of oil equivalent in recoverable reserves, mainly from Cambo, where it raised its stake to 47.5 percent from 15 percent and takes over the operatorship, it said in a statement.
OMV sees potential synergies with its nearby Tornado and Suilven discoveries and other prospects, and may make a contingent payment of $35 million depending on future success.
“This transaction further strengthens OMV’s portfolio of assets in our U.K. focus area, West of Shetland,” Chief Executive Officer Gerhard Roiss said in the statement. “We are consistently executing our strategy of unlocking value from our investments by taking larger stakes and more projects with operatorship within our upstream portfolio.”
OMV, which holds 22 licenses in West of Shetland, was involved in last year’s biggest North Sea transaction when it acquired stakes in Norway and the U.K. from Statoil ASA for $2.65 billion, including in the Rosebank and Schiehallion fields.
The transaction with Hess includes the license holding the Blackrock prospect, where OMV increases its share to 75 percent from 25 percent.
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