Norweigian oil giant Equinor has divested a 16% shareholding in Lundin Petroleum for an increased stake in the Johan Sverdrup field.
The divested shares will give Equinor an increased 2.6% interest in the Johan Sverdrup field and a cash consideration of £518 million.
Under the terms of the agreements, Equinor will divest around 54.5 million shares in Lundin at a price of £22.54 per share.
Total consideration for the divestment of shares in Lundin amounts to around £1.2 billion.
Equinor will acquire a 2.6% direct ownership share in the Equinor operated Johan Sverdrup field for a cash consideration of £726m.
Eldar Saetre, president and CEO of Equinor, said: “Since 2016 we have more than doubled the value of our investment in Lundin.
“This transaction gives us the opportunity to capitalise on this value creation, and at the same time increase our direct ownership in the Johan Sverdrup field.”