Arthur Millholland strikes oil deal

Eight months after presiding over one of the largest corporate collapses of the year, the former boss of bankrupt Oilexco is close to a deal that would see him re-emerge as a key player in the North Sea oil industry.

Arthur Millholland is in talks with Premier Oil, which bought most of the assets of his former company out of administration in May, about buying back one of its fields.

The deal is one of several Millholland is negotiating as head of a new company, Velo Energy. Industry sources said he is in talks with investors to raise $150m (£94m) to acquire other North Sea assets and has received commitments for just under half that amount. Millholland said, however, that neither the funding nor any acquisitions had been finalised.

Millholland has offered to pay $12m for Premier’s Caledonia oil field, but the deal has not been struck.