Deltic Energy plc has agreed to a £7.2 million cash sale of its assets, notably its 25% interest in the Selene prospect, to the UK North Sea’s largest oil and gas producer, Neo Next+.
QUALITY
Each Deltic share will be sold at 7.7 pence in cash, which represents a premium of 156.7 % to the closing price of 3p per Deltic share on 21 April 2026.
The transaction is expected to become effective during the third quarter of the year, subject to approvals.
Neo Next+ has also agreed to provide Deltic with a bridging loan of up to £2.9m to repay the bridging loan from Viaro Energy, in connection with the acquisition offer from its subsidiary RockRose.
Deltic withdrew from the offer on 1 April 2026, following extended delays from the North Sea Transition Authority to approve the deal.
The company had previously stated it had found the UK’s “uncertain fiscal and policy environment” over the past few years “extremely challenging” to funding its business model or realise “significant value” from exploration.
“The last 12 months has been a period of significant uncertainty for Deltic, its shareholders, employees and other stakeholders,” said chief executive officer Andrew Nunn.
“Following the lapsing of the proposed acquisition of Deltic by RockRose Energy Ltd, we received a number of approaches in relation to Deltic and its assets.
“Neo Next+’s offer represents the best value and certainty for Deltic shareholders, and we are therefore delighted to have reached agreement on the terms of the acquisition which should also provide a good home for the quality assets the Deltic team has progressed in recent years.”
The acquisition is expected to complete through a court-sanctioned scheme of arrangement, although Neo Next+ reserves the right to acquire Deltic through a takeover, subject to approval.
DEBT
Deltic also has total accrued debt and deferred liabilities of more than £5.5m, including the £2.7m bridge facility with RockRose, due to be paid by 21 May 2026.
The funds, earmarked to repay £1.5m to Shell (UK) Ltd were instead used for Deltic’s general working capital and to remain funded for day-to-day operations.
Additionally, the company has deferred payment agreements with Adura in relation to Pensacola oil and gas prospect, due from September 2026, and the £1.5m to Shell in relation to Selene which, following a new agreement, is payable at the end of August 2026.
As at 31 March 2026, Deltic’s unaudited cash balance was circa £1m.
The company added it expected a payment of $1m (£800,000) from Dana Petroleum in relation to its 2024 farm-in to Selene in May, dependent only on Dana remaining a partner in the P2437 licence after 12 May 2026.
Deltic noted that, since 2025, the wider Neo Next+ Group has completed a strategic merger with Repsol Resources UK, corporate acquisition of Gran Tierra North Sea Ltd, a 32% acquisition in the Culzean field; a strategic merger with TotalEnergies’ UK business; and the corporate acquisition of Sojitz Energy Development Ltd.
Neo Next+ chairman John Knight said: “The acquisition of Deltic is consistent with our stated objective of continuing to consolidate ownership positions in the UK North Sea.
“This transaction represents the 6th transaction of the wider Neo Next+ Group since the beginning of 2025.
“The Deltic portfolio offers attractive future development potential which we will integrate into our wider portfolio of opportunities.”