Aker BP is to buy the oil and gas business of Lundin Energy to create the second-largest exploration and production company on the Norwegian continental shelf in a cash and stock deal valued at about $14 billion.

The combined entity's production will be in the region of 400,000 barrels of oil equivalent per day, although this is still well behind state-controlled energy giant Equinor's output of 1.315 million boepd.

It will meanwhile have a resource base of 2.7