Kistos buys 30% of Abbey and Baker gas fields, targets 2029 output

Kistos Holdings PLC said Monday it had signed an agreement to acquire a 30 percent stake in the Seaward Production Licenses covering the planned Abbey and Baker natural gas projects on the UK side of the North Sea. Petrogas North Sea Ltd will stay on as operator with a 70 percent interest.

“The acquisition is expected to add approximately nine mmboe [million barrels of oil equivalent] of net 2P [proven and probable] reserves (company estimates) upon a final investment decision, which is anticipated in 2027, increasing the Group’s pro forma 2P reserves to approximately 59 MMboe (from 49.2 MMboe as at 30 June 2026)”, Kistos said in a regulatory filing.

The fields are targeted to start production in 2029, with gas expected to make up 98 percent of the output. London-based explorer and producer Kistos expects gross plateau production of about 18,000 barrels of oil equivalent per day, which would be fed into the national transmission system.

Kistos said it is entering a “significantly de-risked development, with a recent discovery and appraisal well successfully drilled on Baker and Abbey, respectively, the development concept selected and key engineering studies completed and the draft Field Development Plan and Environmental Statement submitted in July 2026”.

The plan for Abbey and Baker, in the UK Southern Gas Basin in waters about 40 meters (over 130 feet) deep, involves drilling four wells and tying them back to an existing platform nearby.

“This value-accretive acquisition adds a high-quality, gas-weighted development to our UK portfolio at an attractive entry point”, said Kistos executive chair Andrew Austin. “The UK will continue to depend on domestic gas supply for many years to come, and Abbey and Baker provide Kistos with long-term gas production, building on our existing North Sea gas business”.

The parties expect to complete the transaction by yearend, subject to approval by the UK North Sea Transition Authority and other customary conditions.

Elsewhere, Kistos recently completed the purchase of Mitsui & Co Ltd’s stake in Blocks 3 and 4 onshore Oman, marking its entry into the Middle East. Japanese diversified group Mitsui sold 20 percent in the two blocks. Kistos’ acquisition of Mitsui’s five percent interest in Block 9 “continues to progress on a separate timeline owing to its EPSA framework and is expected to complete in H2 2026, as previously guided”, Kistos said September 15.

The total price of the transaction is $148 million, according to the agreement announcement on December 9, 2025.

“Together, Blocks 3 and 4 and Block 9 add 25.6 MMboe of 2P reserves at an acquisition value of approximately $5.80 per boe, with net production guided at 9,000-10,000 boepd at the time of the initial announcement”, Kistos said.