Total pronounces the closing of the Maersk Oil acquisition signed on Aug. 21, 2017. It brings to Total round 1 Bboe of 2P/2C reserves and assets, primarily within the OECD nations, and a manufacturing of about 160,000 boed in 2018, ramping as much as greater than 200,000 boed by the early 2020s.

The acquisition of Maersk Oil permits the Group to bolster its present main positions within the U.Ok. and in Norway, in addition to to enter Denmark, making Total the second-largest operator within the North Sea with an output of 500,000 boed by 2020.


“This main acquisition is successful on many ranges,” mentioned Patrick Pouyanné, Chairman and CEO of Total. “First, it illustrates our technique to construct on our strengths and develop our presence in Total’s core areas, just like the North Sea, to strengthen our management there. Second, it brings high-quality and low-breakeven belongings, enhancing our worldwide portfolio. Third, the sturdy overlap between Maersk Oil and the Group’s belongings will generate greater than $400 million of synergies per yr.”

“We are dedicated to protect and additional develop Maersk Oil’s heritage by counting on the sturdy competencies of its groups. Our regional hub for North Sea actions is now headquartered in Copenhagen. Moreover, we welcome a significant new shareholder — A.P. Moller-Maersk — which can maintain three.70% of the Group’s capital,” he added.

The transaction additionally strengthens different development areas of Total, specifically in Algeria and within the Gulf of Mexico within the United States. It is instantly accretive to each cashflow per share and earnings per share.

The efficient date of the transaction is the eighth of March 2018. Under the agreed phrases, A.P. Moller-Maersk will obtain a consideration of $four.95 billion in Total shares (round 97.5 million shares primarily based on common share worth of the 20 enterprise days prior the signing date of the Aug. 21, 2017) and Total will assume $2.5 billion of Maersk Oil’s debt.


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