Acquisition of Ringhorne Production Licences
Kistos (LON: KIST), an independent energy company focused on unlocking value within its existing portfolio and through value-accretive M&A, announces that it has signed a Sales and Purchase Agreement with Vår Energi ASA (Vår Energi) to acquire a 10% working interest in the production licenses PL 169E, PL 956 and PL 956B on the Norwegian Continental Shelf. The upfront consideration for the transaction is $12.9 million, with an effective date of 1st January 2026.
With this transaction, Kistos will hold a uniform working interest across the Balder-Ringhorne Fields, the Ringhorne East Unit, and the part of the Ringhorne Nord field located in PL 956 and PL 956B, in line with its existing 10% stake in PL 027.
The addition of these new licences to the portfolio will add a small amount of production and 4.3 mmboe net to Kistos (2P reserves and 2C resources combined), of which the 2C volumes are expected to be on stream in 2029. Furthermore, the transaction will align the interests of Vår and Kistos across the Balder Area, enabling more efficient field development and reducing operating costs, both supporting maximum resource recovery from the fields.
Completion of the acquisition is subject to customary regulatory approval from the Norwegian Ministry of Energy.
Andrew Austin, Executive Chairman of Kistos, commented:
"These new licences increase our presence and exposure across the world-class Balder Area, while also extending our production profile at a low operating and development cost. As we strengthen our relationship with Vår, our partnership focus for the medium term will turn to bringing new production on stream by 2029 and maximising the 2C-to-2P development opportunities."
ENDS
Dr Richard Benmore, Non-Executive Director of Kistos, with a Bachelor's, Master's and PhD in Geosciences and who has been involved in the energy industry for more than 40 years, has read and approved the disclosure in this announcement.
The Company's internal estimates of resources contained in this announcement were prepared in accordance with the Petroleum Resource Management System guidelines endorsed by the Society of Petroleum Engineers, World Petroleum Congress, American Association of Petroleum Geologists and Society of Petroleum Evaluation Engineers.
Glossary
2C resources those quantities of petroleum estimated to be potentially recoverable from known accumulations but are not yet approved for commercial development due to one or more contingencies 2P reserves the sum of proved and probable reserves, denotes the best estimate scenario of reserves boe barrels of oil equivalent
mmboe million barrels of oil equivalent
Contacts
Kistos Holdings plc Andrew Austin / Peter Mann (via Hawthorn Advisors) Panmure Liberum (NOMAD, Joint Broker) Amrit Mahbubani / Inaya Rafique / Mark Murphy / Sam Elder Tel: 0207 886 2500 Berenberg (Joint Broker) Ryan Mahnke / Ciaran Walsh Tel: 0203 207 7800 Hawthorn Advisors (Public Relations Advisor) Henry Lerwill / Simon Woods Tel: 0203 745 4960 Camarco (Public Relations Advisor) Billy Clegg Tel: 0203 757 4983