Sale of North Sea oil field brings $24 million to Eni’s Vår Energi

Norway’s oil and gas player Vår Energi, majority-owned by Italy’s Eni, has wrapped up the divestment of its interest in an Aker BP-operated field located in the Norwegian sector of the North Sea.

Vår Energi disclosed a deal with Norway’s Concedo in May 2024 to enable the latter to get its hands on the firm’s 20% interest in the Bøyla field for a consideration of $24 million. As a result, Concedo would also assume full decommissioning liabilities for the acquired field.

Eni’s affiliate confirmed the completion of the sale on November 1, explaining that the transaction with the other player is in line with its stated strategy to dispose of non-core assets to high-grade the portfolio, supporting further growth and long-term value creation in its core hub areas.

The Bøyla field, which is perceived to be a mature producing field in the North Sea, started production in 2015. Developed with a subsea template tied back to the FPSO Alvheim, the field’s net remaining proved plus probable (2P) reserves were 1.6 million barrels of oil equivalent at year-end 2023.

Vår Energi is determined to boost its production to around 400,000 barrels a day by the end of 2025. To this end, the firm is involved in several development projects, including a multi-well drilling program to bring online the next stage of a field life extension project in the North Sea off the coast of Norway.

Currently, the firm is ticking off all the items on its list to ensure the first oil from the Balder X life extension project will be achieved in the second quarter of 2025.