Kellas Owned by Blackrock - Damages or acquisition discount Dana7 Feb 2022 23:56
Quote : Harbour Energy has a 50% interest in the Greater Tolmount Area along with Dana Petroleum, who hold the other 50% interest. Harbour is the license operator and is responsible for the Tolmount Field Development Plan, licence and wells obligations, and is also the joint development operator coordinating the overall development and project management of both the HGS infrastructure and the Tolmount field.
Kellas Midstream and Dana will jointly fund, construct and own the HGS infrastructure in equal shares with Kellas assuming operatorship and having contractual responsibility to build, install, commission and operate the infrastructure. Kellas and Dana will also jointly fund some of the onshore modifications that are required at the Easington terminal.
Kellas has appointed ODE Asset Management Limited as Operating Partner for the HGS infrastructure. ODE will provide the resources to manage day-to-day operation of the HGS platform and pipeline.
The total development cost for the project is £530 million, with Kellas funding £175 million, Dana funding £265 million and Harbour funding £90 million. 50% of the project development cost is being invested in the UK with the platform, pipeline and terminal FEED engineering, and modifications to the Easington terminal being engineered and constructed by UK companies.
Premier (now Harbour) acquired its interest in the Greater Tolmount Area, which includes the Tolmount Main gas field, via its $120m acquisition of E.ON’s UK assets in 2016.
Premier’s objective was to maximise economic recovery via an area development solution balanced with a desire to reduce its upfront capital exposure. Premier looked at several ways of doing this, including farm out, vendor funding and infrastructure funding.
Ultimately, Premier selected a midstream joint venture which would build and own the infrastructure – the first time a greenfield UK pipeline and platform infrastructure has been funded by an infrastructure fund, but an extension of the financing models Premier deploys with its FPSO developments.
Premier, Kellas and Dana collaborated to develop an appropriate commercial framework as well as an appropriate risk-reward profile to ensure upstream and midstream investors were aligned.
• Kellas is part of BlackRock's Global Energy and Power Infrastructure Funds (GEPIF), which manage $9 billion of investor commitments across three funds (as of September 2021)
• BlackRock’s GEPIF Group is part of a wider BlackRock Real Assets platform, which manages about $70 billion of investor commitments (as of September 2021.
I feel a claim and acquisition discount HNY
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