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Centrica PLC on Wednesday said that its subsidiary Spirit Energy had sold 46.25% of its interest in the Cygnus gas field to Ithaca Energy PLC. This takes Ithaca’s ownership to 85%, as Spirit Energy holds onto the remaining 15%. Centrica, the Windsor, England-based energy provider and owner of British Gas, said the deal comprised a £116 million headline consideration and the transfer of associated decommissioning liabilities. London-based oil and gas firm Ithaca reported paying £115 million upon completion, after purchase price adjustments. First announced back in May, the deal is part of Ithaca’s plan to consolidate assets in the UK Continental Shelf, where Cygnus is the largest gas field, according to the firm. Ithaca estimated that the stake purchased adds 23 million barrels of oil equivalent in 2P reserves, as at January 1, 2025, as well as 2025 pro forma production between 12,500 and 13,500 barrels of oil equivalent per day. The firm noted that the additional gas volumes improve its ‘balanced production mix’. Ithaca expects to end 2025 with a production rate of about 140,000 boepd. Chair Yaniv Friedman commented: ‘This acquisition, and the completed deal with Japex, strengthens the Group’s position as a lead consolidator in the UKCS, adding incremental reserves and production via highly attractive opportunities that meet our strict investment criteria, commented Chair Yaniv Friedman. Ithaca agreed in March to buy Japex, which has 15% interest in the Seagull field, from Japan Petroleum Exploration Co Ltd for an enterprise value of $193 million. FTSE 250-listed Ithaca traded 2.5% higher at 202.00 pence per share on Wednesday morning in London, while FTSE 100 constituent Centrica rose 1.1% to 168.40p. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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