Tórshavn, Faroe Islands, 2013-02-20 23:44 CET (GLOBE NEWSWIRE) -- Atlantic Petroleum (OMX: FO-ATLA) today announces the completion of the acquisition of 25% working interest in the Orlando and Kells discoveries (P.1606 and P.1607) entered into and announced 13^th December 2012.

Atlantic Petroleum has through its fully owned subsidiary Volantis Exploration Limited committed to pro-rata funding of the Orlando & Kells developments commensurate with its 25% working interest.

The development of Orlando has today been sanctioned by Atlantic Petroleum and Iona. Orlando will be developed as a subsea tie back to the Ninian Central Platform in the Northern North Sea (See attached map).

The following key milestones and components of the Orlando project have been estimated by the operator:

• First oil from Orlando is expected second half 2014.
• The expected initial rate from Orlando is 10,000+ bopd gross.
• Orlando OPEX and Tariff is USD 16.75/bbl.
• CAPEX to first oil is currently estimated to be USD 43.4MM net to Atlantic Petroleum

Ben Arabo, CEO of Atlantic Petroleum comments: “This is a very important step for Atlantic Petroleum in replacing its short term production. The Orlando development has provided significant new reserves to the company, and will increase our production in 2014 and beyond. This investment is fully in line with Atlantic Petroleum’s strategy and production profile. Orlando is likely to become the 4^th Atlantic Petroleum field to come onstream and we look forward to the sanction of Kells later this year with an aim to have first oil from Kells in 2015.”

Further Details:

Further details can be obtained from Ben Arabo, CEO, tel +298 350100 (ben.arabo@petroleum.fo). This announcement will be available, together with other information about Atlantic Petroleum, on the Company's website: www.petroleum.fo.

On the website, it is also possible to sign up for the Company’s e-mail newsletter.

Announcement no. 3/2013

Issued 20-02-2013

         P/F Atlantic Petroleum
         Yviri við Strond 4
         P.O. Box 1228
         FO-110 Tórshavn
         Faroe Islands
         
         Telephone +298 350 100
         Fax +298 350 101
         Website: www.petroleum.fo
         E-mail: petroleum@petroleum.fo