Shetland area oil producer Hurricane considers sale
Nov. 2, 2022
Hurricane Energy, which produces oil from the basement Lancaster Field west of Shetland, has decided to launch a formal sale process after receiving an unsolicited offer.
GODALMING, UK—Hurricane Energy, which produces oil from the basement Lancaster Field west of Shetland, has decided to launch a formal sale process after receiving an unsolicited offer.
The purpose is to determine whether there is a bidder prepared to offer a value that the board considers acceptable and which it should therefore recommend to all its shareholders.
Although the company claims to be on sound financial and operational footing, one of its largest shareholders, Crystal Amber Fund, has indicated its wish to monetize the value of its shareholding.
Hurricane’s board pointed out that the company is debt free, with its decommissioning liabilities fully funded, and with significant oil price-geared cash generation from Lancaster’s P6 well.
