Deltic Energy shareholders have voted "overwhelmingly" in favour of the firm's acquisition by NEO NEXT+, with the takeover set to be rubberstamped in the coming months.
The shareholder vote on June 24 marked a major step forward for the acquisition, which now just subject to NSTA approval.
The news comes as Deltic posted greatly improved financial results, posting a 2025 loss of £2.1million, down from a £21.2million loss the previous year.
While the loss is a marked improvement on the prior year's figure, Deltic bosses have described the last decade as "the most challenging period" in which to a new UK-focused exploration and appraisal business since North Sea oil and gas was first discovered in the 1960s.
A joint statement from Chairman Mark Lappin and Chief Executive Officer Andrew Nunn read: "In 2014, Deltic Energy refined its strategic focus to capitalise on the UK's exploration-friendly fiscal and regulatory framework, which was specifically designed to encourage smaller companies and new entrants to the UKCS to invest in the identification and maturation of exploration opportunities across the basin.
"However, the past decade has proved to be the most challenging period in which to establish a new UK-focused exploration and appraisal business since oil and gas was first discovered in the North Sea in the 1960s.
"During this period, the business has had to navigate a global pandemic, unprecedented volatility in oil and gas prices, the imposition of a punitive fiscal regime for oil and gas companies, and an increasingly challenging policy environment. This has included moratoria on unconventional gas projects and, more recently, a ban on the issuance of new licences, a presumption against oil and gas drilling, and the failure to approve new development consents.
"Against this backdrop, Deltic has established itself as one of the most successful small exploration and appraisal-focused companies operating in the United Kingdom Continental Shelf ('UKCS'). This success is reflected in a strong track record of achievements, including awards in multiple licence rounds, farm-outs to Shell, Cairn Energy and Dana Petroleum, participation in the acquisition of two new 3D seismic surveys and, ultimately, a 100% exploration drilling success rate that delivered two major gas discoveries in the Southern North Sea."
Providing an update on the takeover situation, the statement continued: "Notwithstanding Deltic's clear technical and operational successes, the geopolitical and fiscal environment continues to undermine the investment case for UK-focused companies such as Deltic, which remain reliant on the equity capital markets to fund the progression of their asset base.
"As a result, a number of larger, cash-generative UKCS-focused entities have begun to acquire assets that may offer longer-term strategic value should the UK Government adopt a more pragmatic approach to the domestic oil and gas sector in future.
"It is in this context that the achievements of the Deltic team and the quality of our asset portfolio, including the Selene discovery, have once again been recognised by the industry, resulting in significant interest in the business following the lapse of the RockRose proposal on 31 March 2026. The Company subsequently received a number of approaches and, as announced on 7 May 2026, accepted the proposed acquisition of the entire issued and to be issued ordinary share capital of Deltic by NEO NEXT+, a leading UKCS-focused oil and gas producer.
"On 24 June 2026, shareholders voted overwhelmingly in favour of the acquisition of Deltic by NEO NEXT+ and, subject to NSTA approval, the transaction is expected to complete in the coming months. We would like to thank our shareholders and staff for their continued support throughout this process, and we look forward to seeing NEO NEXT+ advance the Selene discovery and Deltic's other assets towards production."
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