(Aug 21): Total SA has agreed to buy the oil and gas unit of AP Moller-Maersk A/S for US$4.95 billion ($6.75 billion), another sign that the pace of deals in the energy sector is accelerating after a long downturn.

Maersk will receive a consideration of US$4.95 billion in Total shares and the French company will also assume US$2.5 billion of Maersk's debt, the companies said in statements Monday. The transaction is expected to close in first quarter 2018.

"The combination with Maersk Oil offers Total an exceptional overlap of upstream businesses globally which will enhance Total's competitiveness and value in many core areas, in particular through some high-quality growing assets," Total said in its statement.

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