Scotland business

North Sea oil explorer Parkmead buys rival Lochard Energy

Oil explorer Parkmead is to increase its production by 400% with the acquisition of Lochard Energy for £14.5m.

The deal gives Parkmead a 10% stake in the Athena field in the North Sea.

Parkmead's executive chairman, Tom Cross, described the deal as the company's "most exciting and important" to date.

Both companies headquarters are in London with their principle assets in the North Sea.

Mr Cross said: "The acquisition of Lochard will increase Parkmead's production by over 400%.

"The combination of Parkmead and Lochard will create a stronger and more diverse portfolio of assets."

The chairman of Lochard, Clive Carver, said: "The Lochard directors believe Parkmead is of a size and quality that will enable it to continue to source and fund exciting exploration prospects and development opportunities at a time when obtaining funding for smaller exploration companies remains difficult."

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