Total to acquire Maersk OilNews // August 21, 2017
AP Moller - Maersk has signed an agreement to sell Maersk Oil to Total for US$7.45 billion in a combined share and debt transaction.
Total will take over Maersk Oil’s entire organisation, portfolio, obligations and rights with minimal pre-conditions. Planned development schedules and investments in strategic and sanctioned projects will be upheld.
“In determining the best future ownership structure for Maersk Oil, it has been imperative for us that the capabilities and assets created in Maersk Oil continue to be developed, and that long-term investments are upheld, especially in the Danish part of the North Sea,” said Søren Skou, CEO of AP Moller - Maersk.
"The agreement will strengthen the financial flexibility of AP Moller - Maersk and free up resources to focus our future growth on container shipping, ports and logistics.”
Denmark will become a regional hub for all Total’s operations in Denmark, Norway and The Netherlands, based on Maersk Oil’s capabilities and strong position in the North Sea region.
Patrick Pouyanné, Chairman and CEO of Total, said “I welcome Maersk Oil to the Total family. Building on Maersk Oil’s high safety standards, strong technological leadership, operational excellence and strong Danish heritage, we will intensify and accelerate the push to optimise and extend the Danish oil and gas production.
"The addition of Maersk Oil’s strong capabilities and high quality assets to our business will create a leading international operator in the North West European offshore region, making Denmark a regional anchor point for Total’s North Sea business.
"With Maersk Oil’s technical and operating competencies and Total’s experience and strong financial position, we have an exceptional opportunity to boost the combined competitive position in several core upstream regions and deliver growth, value creation and career opportunities.”
AP Moller - Maersk has been the main operator in the Danish North Sea for half a century.
AP Moller Maersk said the separation of the energy businesses was decided as part of last year’s strategic decision to focus the company's activities on transport and logistics, as well as a result of recent years’ oil and gas industry and market developments.
Maersk Oil is the first of the four energy companies of AP Moller - Maersk for which a future structural solution has now been identified. Solutions for Maersk Drilling, Maersk Supply Service and Maersk Tankers remain to be defined before the end of 2018.