The company behind the development plan of the Cambo oil field, Siccar Point Energy has announced it has signed a sale and purchase agreement with Ithaca Energy.

Ithaca Energy, a subsidiary of Israel’s energy company Delek Group, has agreed to buy Siccar Point Energy in a deal worth up to around $1.5 billion (£1.15bn).

A few days ago, the North Sea Transition Authority (NSTA), which was previously known as the Oil and Gas Authority, awarded Shell UK and Siccar Point Energy an extension to the Cambo oil field licence.

In December, following Shell’s decision to withdraw from the plan, the company put the project on hold.

Jonathan Roger, Chief Executive Officer of Siccar Point Energy, commented: “Ithaca is extremely well placed, given its material production base, to pick up the baton and unlock the significant growth opportunities in the Siccar Point portfolio.

“This will ensure the UK continues to deliver reliable UK oil and gas production for powering homes and businesses and manufacturing essential products, maintaining energy security during the planned energy transition.”

Alan Bruce, Chief Executive Officer of Ithaca Energy, commented: “This is a transformational deal for the Company which cements Ithaca’s position as a leading independent E&P operator in the North Sea.

“The development of the Cambo and Rosebank fields is a huge opportunity to not only help secure the UK’s energy future for at least another quarter of a century but also to create thousands of direct
and indirect jobs in the process.”