BASF subsidiary Wintershall is divesting assets in the four non-operated fields—Knarr (20%), Veslefrikk (4.5%), Ivar Aasen (6.4615%) and Yme (10%) on the Norwegian Continental Shelf—to Tellus Petroleum AS, a recently acquired 100% subsidiary of Sequa Petroleum N.V., a news release said.

In addition, Wintershall is reducing its share in the own-operated Maria development by 15% to 35% and has gained Tellus Petroleum as a partner to develop this field, for which the plan for development and operation was recently submitted, the release said. This package also includes equity stakes in seven exploration licenses in the vicinity of the Knarr, Maria and Ivar Aasen fields and in the Barents Sea, as well as ownership interests in the Utsira High Gas pipeline (3.8769%), the Edvard Grieg Oil pipeline (2.5846%) and the Knarr Gas pipeline (20%).

The agreed purchase price for the transaction is $602 million, of which $40 million is subject to the Maria Field development being approved by the Norwegian Ministry of Petroleum and Energy, according to the release. Tellus Petroleum will make a further payment of up to $100 million depending on the development of the oil price in the period from 2016 to 2019. The transaction is expected to close by year-end 2015, subject to approval by the relevant authorities, and will be financially retroactive to Jan. 1, 2015.

The sale does not affect Wintershall’s production targets. The company aims to continue raising the production of oil and gas to 190 million barrels of oil equivalent by 2018.

Wintershall said it will continue to be the operator for the Maria discovery. Lambert Energy Advisory Ltd. has been advisor for Wintershall on the current transaction.

Offshore