Total to sell North Sea assets

Total has agreed to sell its North Sea midstream assets following the collapse in oil prices, in a £585-million ($906-million) deal that incorporates a Scottish gas terminal and interests in two pipelines.

The agreement was signed with to North Sea Midstream Partner, a company formed in 2012 to invest in North Sea infrastructure, and will see Total divest its interest in the 362-kilometre Frigg UK and 234-kilometre Shetland Island Regional Gas Export System pipelines, as well as a 100-percent stake in the St. Fergus gas terminal.

The deal follows another sale by Total, announced in July, of a 20-percent stake in deepwater project Laggan-Tormore, one of the UK’s most prospective gasfields, to British power generator SSE.

“The sale of these midstream transportation assets is another example of Total’s strategy of active portfolio management and the strong potential to unlock value from a range of infrastructure assets,” Total’s chief financial officer, Patrick de La Chevardiere, was reported as saying on the company’s website.

For more news and features on the UK, click here.