Edinburgh Oil & Gas plc Agree £132.8million Takeover

Edinburgh Oil & Gas plc have agreed a £132.8 million offer from Oranje-Nassau Groep BV and Dyas. Edinburgh Oil's valued asset is the Buzzard oil and gas field in the central North Sea in which it holds a 5.2% stake.

Oranje-Nassau Groep BV and Dyas are seeking further potential acquisitions in the UK after unveiling the agreed cash bid with Edinburgh Oil & Gas PLC. Both companies through their bid vehicle Dyon UK Limited, prefer companies which operate in the North Sea and consider the UK as a 'core area' for their business, commented Hans Tijssen, managing director of Dyas UK. "We have done joint acquisitions over the past 15 years," said Tijssen, adding that target buys could be even larger than Edinburgh Oil.

Buzzard, which holds recoverable reserves of over 400 mln barrels, is believed to be the largest oil discovery in the North Sea for the last ten years. Dyon has also not ruled out increasing its stake in Buzzard.

Rene Mulder, managing director of Oranje-Nassau said Dyon expects to conclude the Edinburgh Oil deal in July.

Shareholders owning a combined 20% stake in Edinburgh Oil have backed the offer. The Dutch pair have also built up a 7 pct stake in Edinburgh Oil by buying shares in the stock market.

Find out more about:
Edinburgh Oil & Gas PLC
Dyon UK Limited
Buzzard Field

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Posted: 06/05/05

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