DNO Secures Over USD 900 Million in Strategic North Sea Production Financing Through Major Energy Players

Norwegian oil and gas firm DNO ASA has successfully locked in substantial financing tied to its North Sea operations, marking a significant step in its capital strategy across volatile energy markets. The company has entered into production agreements with two of the world’s largest energy majors—Exxon Mobil and Shell—beginning January 2026, complemented by associated credit facilities totaling USD 410 million for these arrangements alone.

Strategic Agreements Reshape DNO’s Financial Position

The partnership with Exxon Mobil Asia Pacific Pte. Ltd. covers approximately 50% of DNO’s North Sea crude production under a two-year commitment, with an accompanying revolving credit facility of USD 185 million. Simultaneously, Shell Trading and Shipping Company Limited has secured rights to the remaining half of output through an initial one-year term, supported by a prepayment facility worth USD 225 million sourced from European banking partners.

These structures represent more than transactional arrangements—they demonstrate how major producers can leverage offtake certainty to unlock favorable financing terms in challenging market conditions. The flexibility embedded in both agreements allows DNO to adapt to market dynamics while maintaining predictable revenue streams.

Expanding the Financing Architecture

This North Sea initiative builds upon DNO’s earlier achievement in July 2025, when the company established a gas sales agreement with France-headquartered ENGIE SA. ENGIE Solutions Middle East’s involvement in the company’s broader energy transition strategy reflects growing recognition of integrated solutions across production basins. Combined, DNO’s portfolio of offtake and financing agreements now reaches USD 910 million, creating a robust financial backbone for operational continuity.

According to DNO’s Executive Chairman Bijan Mossavar-Rahmani, these arrangements “deliver competitive financing at rates that enable sustained expansion even amid market uncertainty.” The terms balance sustainability with growth opportunities, providing the operational flexibility required in contemporary energy markets.

Broader Context for DNO’s Portfolio

DNO, established in 1971 as Norway’s pioneer oil company, maintains diversified upstream interests across Kurdistan, the UK Continental Shelf, West Africa, and Yemen. The company’s North Sea assets represent critical production anchors within this global portfolio, making the secured financing crucial for long-term competitiveness and development plans.

The agreements reflect investor confidence in DNO’s asset quality and management execution, particularly as traditional energy producers navigate the transition toward lower-carbon operations alongside conventional hydrocarbon development.