Ashurst is advising OMV, the international integrated oil and gas company based in Vienna, on the acquisition of Shell's Upstream business in New Zealand for US$578 million. The assets comprise joint venture interests in Pohokura (48%), the largest gas producing field in New Zealand, and Maui (83.75%), as well as related infrastructure for production, storage and transportation.

OMV is an existing partner in the assets (26% in Pohokura and 10% in Maui) and intends to assume operatorship in both joint ventures. Average production of the acquired assets in the first two months of 2018 was 31,000 boe/d.

In parallel to the acquisition of the interests in Pohokura and Maui, OMV has also acquired Shell’s 60.98% interest in the Great South Basin exploration block (GSB). The transfer of GSB is effective immediately and increases OMV’s stake in GSB to 82.93%.

The Ashurst team was led by co-head of oil and gas and partner Michael Burns, assisted by senior associate Mary Seely and associates Priya Shah and Emma Camilleri. Tax advice was provided by partner Nicholas Gardner and senior associate Tim Gummer. Partner Ruth Buchanan advised on employment matters, assisted by senior associate Sean Coyne, with counsel David Baxter advising on the incentives aspects of the transaction. Counsel John Gordon and associate Liz Ramsaran provided pensions advice. Counsel Eleanor Reeves advised on environmental and health & safety matters. The Ashurst team worked closely with OMV's in-house team led by Andreas Aigner, head of M&A legal, and Matthias Allerstorfer, senior legal counsel, as well as OMV's counsel in New Zealand, Simpson Grierson, led by partner Dave Trueman.

Commenting on the transaction, Michael Burns said:

"This is a significant transaction for OMV and the New Zealand oil and gas industry, and is a real step forward in OMV's plan to develop Australasia into a core region for them. We have enjoyed working with all of the parties on the transaction and look forward to helping the transaction towards completion."

Commenting on the transaction and the support provided by the Ashurst team, Andreas Aigner said:

"I am happy that we have delivered this important transaction for our Australasia region in line with our new strategy. The transaction stretched a thirteen-hour time difference and involved more than five jurisdictions at any one time. The Ashurst team, under Michael's leadership, worked seamlessly across offices and with Simpson Grierson to provide the "round–the-clock" support that we needed on the deal. The combination of the Ashurst network of offices in key hubs, together with leading oil and gas industry knowledge being present across that network, meant that the transaction was able to get to signing in a very efficient manner."