Oil industry: Husband and wife sell oil company for £30m

Trap Oil has bought Reach Oil and Gas from a husband and wife team for £30 million.

The owners of the Banchory-based firm will receive £20 million in cash and a further £10 million in shares of Trap Oil, giving them an 11.3 per cent stake.

Furthermore, former Reach owner Miles Newman will also become a non-executive director and still play a role in the oil industry.

"We have built up what we think is quite a good portfolio of exploration, appraisal and development drilling and we thought it was the right time to sell it to someone who can take it to the next level. We want to concentrate on the exploration side, that is where our expertise are," he told the Press and Journal.

Trap Oil's portfolio currently covers 13 blocks and park blocks in the UKCS, which were applied for during the 25th and 26th licensing rounds.