Latest news with #BijanMossavar-Rahmani
Yahoo
13-06-2025
- Business
- Yahoo
DNO completes acquisition of Sval Energi from HitecVision
Norwegian oil and gas operator DNO has completed the acquisition of Sval Energi from HitecVision. The deal, which carries a cash consideration of $450m (NKr4.48bn) based on the enterprise value of $1.6bn, will boost DNO's presence in the North Sea. In March, DNO signed an agreement to acquire 100% of the shares of Sval Energi Group. The acquisition quadruples DNO's North Sea production to 80,000 barrels of oil equivalent per day (boepd) and increases its proven and probable (2P) reserves to 189 million barrels of oil equivalent (mboe), a fourfold increase. Additionally, the company's contingent resources (2C) now total 316mboe. With this strategic move, Norway and the UK now account for nearly 60% of DNO's global production and around 45% of its global reserves. The remainder is largely concentrated in the Kurdistan region of Iraq. DNO's executive chairman Bijan Mossavar-Rahmani said: 'The Sval Energi assets provided a rare opportunity to significantly upsize DNO's North Sea operations and, of course, DNO itself. And we moved quickly to seal the deal.' Halvor Engebretsen, former CEO of Sval Energi, will lead the expanded North Sea business as managing director of DNO Norge. Backed by ongoing field development projects and several discoveries in the pipeline for project approval, DNO stated that it is strategically positioned to enhance its North Sea production in the coming years. The combined 2P reserves and 2C resources in the North Sea equal 15 years of production at the current output levels, added the company. The company stated that it is also actively seeking additional acquisition opportunities and is committed to expediting the development and monetisation of its discoveries in Norway. Rahmani added: 'It takes most Norwegian oil companies a ridiculously long eight to ten years to bring a discovery to first production, even with simple subsea tiebacks to existing platforms. Compare that to the two to three years, if that, to execute this task in other established basins.' Last week, to fund the acquisition, DNO raised $400m through hybrid bonds. In Kurdistan, DNO has maintained production from its Tawke licence at approximately 80,000boepd, with minimal new investment. It holds a 75% interest and operatorship of the licence. Its Côte d'Ivoire gas assets consistently produce more than 3,000boepd net. DNO is planning four development wells and one exploration well in the years 2025–26. "DNO completes acquisition of Sval Energi from HitecVision" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
05-06-2025
- Business
- Yahoo
DNO Raises USD 400 Million in Hybrid Bonds
5 June 2025 – DNO ASA, the Norwegian oil and gas operator, today completed a private placement of USD 400 million of subordinated hybrid bonds with a coupon rate of 10.75 percent. The hybrid bonds will have the first call at 100 percent of nominal value after 5.5 years, with coupon step-up after six years and maturity in 2085. The bond placement met strong investor demand across US, Nordic and international markets and was significantly oversubscribed. 'This first hybrid bond issue capitalizes on our 24-year flawless record in the bond market,' said DNO's Executive Chairman Bijan Mossavar-Rahmani. 'Given its features, including treatment as equity not debt on DNO's balance sheet, a hybrid bond fits well with our financing structure following closing of the Sval Energi Group AS acquisition later this month,' he added. Settlement is expected on or about 17 June 2025, subject to customary conditions precedent. An application will be made to list the bonds on the Oslo Stock Exchange. Proceeds from the new bond issue will be used to refinance financial indebtedness in Sval Energi and for general corporate purposes. Arctic Securities AS, DNB Carnegie, part of DNB Bank ASA, and Pareto Securities AS acted as Joint Bookrunners for the transaction. AGP Advokater AS acted as legal advisor to the Company. – For further information, please contact:Media: media@ – DNO ASA is a Norwegian oil and gas operator active in the Middle East, the North Sea and West Africa. Founded in 1971 and listed on the Oslo Stock Exchange, the Company holds stakes in onshore and offshore licenses at various stages of exploration, development and production in the Kurdistan region of Iraq, Norway, the United Kingdom, Côte d'Ivoire and Yemen. More information is available at – This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act. This release does not constitute any offer or solicitation to sell or purchase any securities. The release may not be released, published or distributed in the United States of America or any other jurisdiction where release, publication or distribution would be prohibited or require any registration or filing acts or in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
27-03-2025
- Business
- Yahoo
DNO reports oil and gas discovery in North Sea licence PL1182 S
DNO, a Norwegian oil and gas operator, has reported an oil and gas discovery in the northern North Sea licence PL1182 S, where it holds a 40% operated interest. Partners in the licence include Aker BP with a 30% stake, Concedo with a 15% interest and Japex Norge with a 15% stake. The discovery in Paleocene injectite sandstones shows preliminary estimates of 39–million to 75 million barrels of oil equivalent (mboe), with a mean of 55mboe, of gross recoverable resources. The Kjøttkake exploration well revealed a 41m oil column and a 9m gas column. A sidetrack drilled 1,350m westwards along the reservoir in the Sotra Formation confirmed the oil column's presence throughout the discovery. The wells were drilled using the Deepsea Yantai rig. The Kjøttkake discovery is located 27km north-west of the Troll C platform and 44km south-west of the Gjøa platform, and is DNO's tenth discovery in the Troll-Gjøa area since 2021. Previous discoveries include Carmen, Cuvette, Heisenberg, Røver Nord, Kveikje, Kyrre, Ofelia, Ringand and Røver Sør. DNO has also made discoveries in other parts of the Norwegian Continental Shelf, such as Norma in 2023, followed by Othello in 2024. DNO executive chairman Bijan Mossavar-Rahmani said: 'We are on a hot streak in Norway. Our latest and most exciting discovery this year, Kjøttkake, is close to existing infrastructure in the Troll-Gjøa area, and we will be relentless in pursuing its commercialisation.' After its exploration, DNO stated that it has ramped up the acquisition of producing assets to balance its Norwegian portfolio and support the funding of future developments. Earlier this month, DNO agreed to acquire Sval Energi Group from HitecVision for an enterprise value of $1.6bn (Nkr17.24bn). The acquisition is expected to close by mid-year. The deal involves a cash consideration of $450m and is set to be financed via existing cash, debt financing facilities, new bond and reserve-based lending debt, and offtake-based financing. "DNO reports oil and gas discovery in North Sea licence PL1182 S" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Trade Arabia
11-03-2025
- Business
- Trade Arabia
Norwegian oil major DNO to buy Sval Energi for $1.6bn
DNO ASA, the Norwegian oil and gas operator, today announced it has reached agreement to acquire 100 percent of the shares of rival Sval Energi Group AS from HitecVision for a cash consideration of $450 million based on an enterprise value of $1.6 billion. The Sval Energi assets are complementary to DNO's North Sea portfolio and will add scale and diversification to solidify the Company's position as a leading listed European independent oil and gas company. The acquisition will be financed from existing liquidity including available credit facilities, said a statement from DNO. The company will set in place the optimal capital structure prior to completion, it added. "This is a rare opportunity to acquire a portfolio of high-quality oil and gas assets on the Norwegian Continental Shelf," said DNO's Executive Chairman Bijan Mossavar-Rahmani.
Yahoo
10-03-2025
- Business
- Yahoo
DNO to acquire Sval Energi for $1.6bn, expanding North Sea portfolio
DNO, a Norwegian oil and gas operator, has announced the signing of an agreement to acquire all shares of Sval Energi Group from HitecVision for an enterprise value of $1.6bn (Nkr17.24bn). The deal, which includes a cash consideration of $450m, is set to enhance DNO's North Sea assets and bolster its position as a 'leading' independent oil and gas company. DNO plans to finance the acquisition with existing cash, debt financing facilities, new bond and reserve-based lending debt, as well as offtake-based financing. Sval Energi holds non-operated interests in 16 producing fields offshore Norway, with a net production of 64,100 barrels of oil equivalent per day (boepd) as of 2024. Some of the largest assets in terms of net proven and probable (2P) reserves are Nova, Martin Linge, Eldfisk and Ekofisk. The company's portfolio includes 141 million barrels of oil equivalent (mboe) in net 2P reserves and 102mboe in net contingent (2C) resources. DNO executive chairman Bijan Mossavar-Rahmani said: 'This is a rare opportunity to acquire a portfolio of high-quality oil and gas assets on the Norwegian Continental Shelf (NCS) and we have moved fast to capture it. 'Given low unit production costs and limited near-term investment requirements, the Sval Energi portfolio is highly cash generative and will help underpin development of the numerous discoveries we have made in Norway recently.' The deal is expected to increase DNO's net production by two-thirds to approximately 140,000boepd on a 2024 pro forma basis, with 2P reserves rising by 50% to 423mboe. Furthermore, North Sea production for DNO will quadruple to around 80,000boepd, surpassing its production in the Kurdistan region of Iraq. The company's 2P reserves in the North Sea will increase from 48mboe to 189mboe, while 2C resources will grow from 144mboe to 246mboe. The transaction is also expected to bring tax synergies, general and administrative savings, and reduced borrowing costs, improving DNO's financial position. DNO's successful exploration track record on the NCS, with 14 discoveries since 2020, will be further strengthened by the acquisition. Completion of the transaction is anticipated by mid-year 2025, pending customary regulatory approvals from the Norwegian Ministry of Energy. In December 2024, DNO announced an oil discovery in licence PL1086 offshore Norway, indicating the possibility of a new play in the area. "DNO to acquire Sval Energi for $1.6bn, expanding North Sea portfolio" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
