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UK-based upstream oil and gas player Serica Energy has completed the acquisition of Prax Upstream, a subsidiary of compatriot Prax Exploration & Production, expanding its hydrocarbon portfolio on the UK Continental Shelf (UKCS).
Following receipt of consent from the North Sea Transition Authority (NSTA) for the change of control, Serica has now acquired PUL from Prax Exploration & Production and settled the consideration of £14.5 million ($18.9 million) for the acquisition.
The firm has assumed the cash balance held by its new subsidiary on completion, amounting to the equivalent of $34 million, of which $12 million is currently restricted to cover expected commitments on the FPSO demobilization.
The Lancaster field is producing around 5,900 boepd and this production will now be added to Serica’s portfolio. The field is expected to cease production by mid-2026, when the FPSO Aoka Mizu leaves the area.
According to the company, the completion of the TotalEnergies and ONE-Dyas acquisitions, signed by PUL, continues to be expected in H1 2026. The farm-in for a 40% interest in the P2530 license from Finder Energy has been completed, encompassing the Wagtail oil discovery and the low-risk Marsh and Bancroft exploration prospects.
The firm highlighted: “Serica is pleased to welcome employees from PUL into the business, with Alessandro Agostini joining the Executive Leadership Team as Chief Non-operated Joint Ventures Officer, overseeing Serica’s interests in the Triton area and other non-operated assets.
“Alessandro led the expansion of Edison from Italy into the UK and managed its UKCS portfolio of production and exploration assets, before joining Prax Upstream and leading its development via the acquisition of Hurricane Energy and subsequent Greater Laggan Area and Catcher and GEAD transactions.”
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Serica is responsible for about 5% of the UK’s natural gas, which plays a significant role in supporting the country’s energy transition, and has invested over £1 billion ($1.34 billion) in the UK supply chain since 2020.
The firm’s key producing assets are grouped around two major hubs: the Bruce, Keith, and Rhum (BKR) fields in the Northern North Sea, which the company operates; and a mix of operated and non-operated fields connected to the FPSO Triton in the Central North Sea.
“Having now completed on the acquisition of PUL, in H1 2026, Serica is also set to complete the acquisition of a 40% operated stake in the Greater Laggan Area offshore fields and associated Shetland Gas Plant from TotalEnergies and non-operated interests in the Catcher and Golden Eagle Area Development fields from ONE-Dyas,” emphasized the UK player.