Tórshavn, Faroe Islands, 2015-02-23 07:56 CET (GLOBE NEWSWIRE) -- P/F Atlantic Petroleum (“Atlantic Petroleum”) (NASDAQ OMX COPENHAGEN: ATLA DKK & Oslo Stock Exchange: ATLA NOK) today announces that the company has entered into a commercial farm-down agreement with Statoil Petroleum AS (“Statoil”) related to the PL602 licence.
PL602 is located in the Vøring Basin, close to the Aasta Hansteen Field Development. The licence contains several prospects and leads within the same play model as that already proven by the Luva, Haklang and Snefrid discoveries.
Atlantic Petroleum entered into this license in December 2014 through a farm in agreement with Ithaca, and the company currently holds 10% working interest.
Through the farm-down deal Statoil will purchase 2.5% participating interest in PL602 from Atlantic Petroleum for a post–tax cash consideration. After the deal is completed Atlantic Petroleum will have a 7.5% working interest in PL602.
In addition to the 2.5% interest in PL602 Statoil will also get an option to enter in to three other exploration licenses in Atlantic Petroleum’s portfolio (PL704, PL705 and PL802).
CEO Ben Arabo comments: “The farm down to Statoil is part of our wider strategy to realise value in our exploration assets at an early stage. Funds from this transaction will be utilised across our portfolio.”
The transaction is subject to government approval.
Atlantic Petroleum in brief:
Atlantic Petroleum is a full cycle exploration and production (E&P) Group focused on North West Europe. Atlantic Petroleum currently holds around 34 oil and gas licences in the UK, Norway, and Ireland, and has three fields in production in the UK part of the North Sea. In addition to this, the Group has one field under development with first oil expected in 2016, two additional potential development projects and a substantial number of exploration prospects. Atlantic Petroleum participates in joint ventures with 30 reputable, international partners. Atlantic Petroleum’s main office is located in Tórshavn, Faroe Islands, and the Company has subsidiaries and technical offices in London, UK and Bergen, Norway. Atlantic Petroleum’s existing shares are listed on NASDAQ OMX Copenhagen and on Oslo Stock Exchange.
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.05/2015
Issued 23-02-2015
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