PGNiG to acquire KUFPEC Norway assets for $445 million

PGNiG Upstream Norway AS, an ORLEN Group company, has agreed to acquire all shares of KUFPEC Norway AS, a subsidiary of Kuwait Foreign Petroleum Exploration Co., for $445 million.

Following the deal’s closing—expected by yearend subject to Norwegian authority approvals—ORLEN Group’s natural gas output in Norway will increase by one-third, reaching over 4 billion cu m/year. 

 With the deal, PGNiG Upstream Norway adds to its existing interests in Equinor Energy AS-operated producing North Sea fields Gina Krog (30%), Sleipner Vest (10%), Sleipner Ost (9.4%), Gungne (10%), and Utgard (6.2%). Gas produced from these fields will be transported to Poland via the Baltic Pipe pipeline. Daily hydrocarbon production is expected to surpass 100,000 boe by end-2024.

The agreement covers acquisition of all shares in KUFPEC Norway along with all its assets and is expected to increase PGNiG’s recoverable reserves to nearly 400 million boe. Over 80% of these new resources will consist of natural gas.