Wintershall Dea sells non-core oilfields in Germany
German player inks deal with local newcomer that specialises in mature, sustainable fields
Germany's Wintershall Dea is selling its operated participating interests in certain domestic oil concessions to compatriot player RDG.
The sale is part of Wintershall Dea's plan to refocus its portolio of assets in Germany.
The concessions being sold include Aitingen (in which Wintershall Dea holds a 33.33% interest), Schwabmuenchen (100%), Lauben/Bedernau (50%) and Hebertshausen (100%), all of which are located in Bavaria, southern Germany.
Also part of the deal is Wintershall Dea’s 66% interest in the Landau concession in Rhineland-Palatinate, the Tannheim/Engelsberg concession (50%) in Baden-Wurttemberg and the Suderbruch concession (100%) in Lower Saxony.
The value of the deal has not been disclosed.
“As part of our broader portfolio optimisation initiatives, this transaction is an important step in the direction of refocusing our efforts in Germany around three main operated production hubs”, the head of Wintershall Dea Germany, Dirk Warzecha said.
According to Warzecha, these core assets include oil production at Mittelplate, Schleswig-Holstein, and gas production in the Verden district and oil production at Emlichheim, both in Lower Saxony.
“Domestic production will therefore remain a key component in Wintershall Dea’s overall portfolio and a material contributor to the company’s goals,” Warzecha said.
Once the deal is closed within the first half-year 2020, all Wintershall Dea employees in southern Germany will be transferred to Hanover- headquartered RDG.
RDG emerged as an independent company in 2018 from the German subsidiary of oil and gas company RAG Austria, and already acts as operator in concessions in Lower Saxony and Bavaria.
“As a growing company, we specialise in the further development and optimisation of production at existing oil and gas fields,” RDG chief executive, Felix Lerch said.
“Our goal is to align existing development sites towards sustainable, environmentally friendly production, including potential subsequent usage with renewable energies and full ecological restoration,” Lerch said.
(Copyright)