DNO re-enters North Sea with Origo acquisition

Kurdistan focused operator DNO is to take over North Sea-focused Origo Exploration.

DNO, which is Oslo-listed, will pick up stakes in 11 exploration and appraisal licenses in the North Sea, seven of which are on the Norwegian Continental Shelf and four on the UK Continental Shelf.

Origo was launched in 2014 by founding members of two private equity-funded exploration companies, Revus Energy and Agora Oil & Gas.

DNO will retain Origo's management, staff and headquarters in Stavanger, Norway, and rebrand the company DNO Norge.

DNO will assume Origo's drilling commitments and license obligations with an effective date of 31 March 2017. 

The deal, subject to regulatory approval, fast-tracks DNO's reentry into Norway after a six-year hiatus during which the company has built a Middle East business, centres around the firm's Tawke field in the Kurdistan region of Iraq.

"Origo presented a unique and timely opportunity to partner with an experienced team with a strong record of exploration success and value creation," said DNO's Executive Chairman Bijan Mossavar-Rahmani. "We are now positioned to pursue further asset acquisitions and, importantly, to compete in future exploration bid rounds offshore Norway."