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Vermilion Energy Inc. Announces Closing of the Corrib Acquisition
Vermilion Energy Inc. Announces Closing of the Corrib Acquisition Canada NewsWire ...
About this update from Vermilion Energy Inc.
[{"type":"text","content":"\n \n \n \n Vermilion Energy Inc. Announces Closing of the Corrib Acquisition\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n \n \n \n \n CALGARY, AB\n \n \n ,\n \n \n April 3, 2023\n \n \n /CNW/ - Vermilion Energy Inc. (\"Vermilion\") (TSX: VET) (NYSE: VET) is pleased to announce the closing of the acquisition of Equinor Energy Ireland Limited (\"EEIL\") from Equinor ASA on\n \n March 31, 2023\n \n .\n \n \n The acquisition of EEIL adds an incremental 36.5% interest in the Corrib Natural Gas Project (\"Corrib\"), increasing Vermilion's operated interest to 56.5%. The acquisition makes Vermilion the largest provider of domestic natural gas in\n \n Ireland\n \n . We entered into an agreement with Equinor ASA in\n \n November 2021\n \n to acquire EEIL with an effective date of\n \n January 1, 2022\n \n for total consideration of\n \n US$434 million\n \n (\n \n $556 million\n \n ), before closing adjustments and contingent payments. The net purchase price after adjusting for the interim free cash flow between the effective date and closing date inclusive of Vermilion's estimates of European windfall taxes based on information released to-date on how it will be implemented in\n \n Ireland\n \n , the contingent payment and other closing adjustments is approximately\n \n $200 million\n \n .\n \n \n The acquisition of EEIL adds approximately 7,000 boe/d of premium-priced, high netback, low emission European natural gas production, further strengthening Vermilion's international portfolio. Vermilion has been operating internationally for over 26 years, which has served as a key differentiating advantage as our diversified asset base provides exposure to global commodities, which reduces volatility and drives industry leading netbacks. Our international assets target conventional reservoirs, which typically have lower decline rates and better capital efficiencies compared to many North American basins. The combination of high netbacks, low decline rates and strong capital efficiencies drive outsized free cash flow, which supports our capital ma...