On 24 August 2018 Ithaca Energy announced that it has agreed to acquire all the Greater Stella Area (GSA) licences and associated infrastructure interests of Dyas UK Limited and Petrofac Limited. The effective date of the transaction is 1 January 2018 and the deal is expected to complete towards the end of 2018 subject to regulatory approval. In return for the interest, Ithaca will pay an initial payment of USD 130 million along with deferred payments of USD 120 million paid over a period of 2020 to 2023. Depending on the performance going forward of the Stella and Harrier fields, Petrofac has the opportunity to earn up to USD 28 million by 2023.  Ithaca has acquired a 25.34% from Dyas and a 24.8% interest from Petorfac in the FPF-1 (Floating production Unit) infrastructure, a 25.34% interest from Dyas and a 20% interest from Petrofac in Stella and Harrier (licence P011), a 25.34% interest from Dyas and a 20% interest from Petrofac in the Hurricane asset (licences P1665 / P2190), a 47.5% interest from Dyas in the Jacky field (licence P1392) and a 17.5% interest from Dyas in the Athena field (licence P1293). Following completion of the deal, Ithaca will hold 100% in all the aforementioned assets apart from Athena in which it will hold a total of 40% interest. As a result of the deal Ithaca will increase its production forecast by 50% to approximately 22,000 boe/d with operating costs attributed at USD 18/boe. The transaction is hoped to increase the companyâs 2P reserve based by more than 20 MMboe.  The GSA development is a new Central North Sea hub with the potential tie-in of Hurricane and Helios. Five development wells were drilled on Stella (three into Andrew and one into the Ekofisk reservoir) which fill the gas processing capacity on FPF-1 and two development wells were drilled on Harrier. One well drilled into the Harrier Ekofisk reservoir and the second well drilled into the Tor reservoir. The Tor reservoir is tied-into the GSA facility. The produced gas is being transported and processed on the FPF-1 via the Central Area Transmission System (CATS) and Teeside Gas and Liquids Processing (TGLP) terminal. The design life for the systems on Stella and Harrier is 15 years. Harrier was discovered in 2003 and has two Cretaceous reservoirs (Ekofisk and Tor). The field was developed under the UKâs small field allowance as its reserves are approximately 24 MMboe which is under the 45 MMboe limit. Stella was discovered by Shell in 1984 with well 30/6-3Z. The field comprises two reservoirs - the gas condensate-bearing Upper Paleocene Andrew Sandstone Unit and the oil-bearing Lower Paleocene Ekofisk Chalk Formation - which are draped over a salt-induced anticline. The structure has 300 m closure over a 22 sq km area. It was appraised in 2010 with well 30/6a-8. The well was tested and it confirmed the presence of hydrocarbons 150 m lower than previously identified, thus increasing the total measured hydrocarbon column to 250 m and in turn significantly increasing the reserves estimate. The well was tested and flowed at a restricted rate of 2,850 b/d of light oil (39 Â°API) and 2,150 bw/d. The sidetrack encountered 5 m true vertical thickness of Andrew Sandstone that was fully hydrocarbon-saturated. These well results increased the 2P reserves of the field by 12.8% to 42 MMboe.
Ithaca has agreed to buy-out Dana and Petrofacâs interests in the Greater Stella area licences and related infrastructure interests for a staged total of US$250 MM. The deal should increase Ithacaâs 2P reserves by over 20 MMboe. Involved are licences P011 (Stella/Harrier, 100%), P1665/P2190 (Hurricane, 100%), P1392 (Jacky,100%), P1293 (Athena, 40%),