Harbour Energy has completed the acquisition of LLOG Exploration Company for $3.2 billion and thus enters directly into the deepwater US Gulf of America. The deal redefines its upstream portfolio and adds a new strategic unit to its global map.
LLOG’s acquisition and strategic expansion in the Gulf
With this strategic acquisition, the company integrates oil-heavy offshore assets in one of the world’s most productive basins. The integration of LLOG allows Harbour Energy to establish a relevant position in the deepwater segment of the U.S. Gulf.
From my analysis, the value is in the quality of the producing fields and the inventory of high-return drilling opportunities. high profitability drilling opportunities. The deal expands the oil portfolio along with its positions in Norway, UK, Argentina and Mexico.
LLOG’s average production reached 36 thousand barrels equivalent per day during 2025, driven by the strong performance of Who Dat and Buckskin as well as the start-up of the Leon-Castille development. Forecasts indicate that daily pumping could be between 65 and 70 kboepd by 2028.
The corporate transaction was financed through US$2.7 billion in cash and the issuance of 174,855,744 new common shares valued at US$500 million. The cash came from a US$1 billion bridge facility, a three-year term loan for the same amount, and US$700 million in available liquidity. The company also applied for admission of the new shares to the London Stock Exchange with expected listing on the main market.
After the issuance, the share capital amounts to 1,579,724,339 voting shares. Approximately 89 % remains in the hands of legacy shareholders, including 42 % held by BASF , while the seller retains about 11 %. Some 70 % of the issued shares will be subject to a one-year lock-up period.
Source and photo: Harbour Energy