Lundin Petroleum Board resolves on Edvard Grieg transaction


Stockholm, 2016-06-30 08:32 CEST (GLOBE NEWSWIRE) --  

The Board of Directors of Lundin Petroleum AB (Lundin Petroleum) has resolved on the new share issues and share transfer in order to complete the Edvard Grieg acquisition.

On 3 May 2016, Lundin Petroleum announced that Lundin Petroleum and its wholly-owned subsidiary Lundin Norway AS (Lundin Norway) had entered into agreements with Statoil ASA (Statoil) and its wholly-owned subsidiary Statoil Petroleum AS (Statoil Norway) to acquire Statoil Norway's entire 15 percent interest in the Edvard Grieg field in PL338, offshore Norway and all associated assets including a nine percent interest in the Edvard Grieg oil pipeline and a six percent interest in the Utsira High gas pipeline (the Edvard Grieg Assets).

With the support of the authorisations at the Extraordinary General Meeting on 30 May 2016 and based upon an agreed average share price of SEK 138 per share and a SEK/USD exchange rate of 8.098, the Board has on 29 June 2016 resolved to issue 27,580,806 new shares in Lundin Petroleum to Statoil in consideration for the Edvard Grieg Assets. In addition, the Board has, in accordance with the authorisation from the Extraordinary General Meeting on 30 May 2016, resolved to transfer 2,000,000 shares held in treasury and to issue 1,735,309 new shares to Statoil in exchange for a cash consideration based upon a share price of SEK 145.66 per share (the ten day volume weighted average closing share price prior to and including the date of signing the transaction documents). The reason for the share issues and share transfer is to enable the acquisition of the Edvard Grieg Assets.

Following completion of the transaction, Lundin Petroleum will have 340,386,445 shares outstanding. The dilution amounts to approximately 8.6 percent of the number of shares in Lundin Petroleum.

The transaction is expected to be completed today and the shares will then be registered on or around 1 July 2016.

 

Lundin Petroleum is a Swedish independent oil and gas exploration and production company with a well balanced portfolio of world-class assets primarily located in Europe and South East Asia. The Company is listed on NASDAQ Stockholm (ticker "LUPE"). Lundin Petroleum has proven and probable reserves of 685 million barrels of oil equivalents (MMboe) as at 31 December 2015.


For further information, please contact:

Maria Hamilton
Head of Corporate Communications
E-mail: maria.hamilton@lundin.ch
Tel: +41 22 595 10 00
Tel: +46 8 440 54 50

 
Teitur Poulsen
VP Corporate Planning & Investor Relations
Tel: + 41 22 595 10 00

This information has been made public in accordance with the Securities Market Act (SFS 2007:528) and/or the Financial Instruments Trading Act (SFS 1991:980).

Forward-Looking Statements
Certain statements made and information contained herein constitute "forward-looking information" (within the meaning of applicable securities legislation). Such statements and information (together, "forward-looking statements") relate to future events, including the Company's future performance, business prospects or opportunities. Forward-looking statements include, but are not limited to, statements with respect to estimates of reserves and/or resources, future production levels, future capital expenditures and their allocation to exploration and development activities, future drilling and other exploration and development activities. Ultimate recovery of reserves or resources are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management.

All statements other than statements of historical fact may be forward-looking statements. Statements concerning proven and probable reserves and resource estimates may also be deemed to constitute forward-looking statements and reflect conclusions that are based on certain assumptions that the reserves and resources can be economically exploited. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar expressions) are not statements of historical fact and may be "forward-looking statements". Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements.  No assurance can be given that these expectations and assumptions will prove to be correct and such forward-looking statements should not be relied upon. These statements speak only as on the date of the information and the Company does not intend, and does not assume any obligation, to update these forward-looking statements, except as required by applicable laws. These forward-looking statements involve risks and uncertainties relating to, among other things, operational risks (including exploration and development risks), productions costs, availability of drilling equipment, reliance on key personnel, reserve estimates, health, safety and environmental issues, legal risks and regulatory changes, competition, geopolitical risk, and financial risks. These risks and uncertainties are described in more detail under the heading "Risks and Risk Management" and elsewhere in the Company's annual report. Readers are cautioned that the foregoing list of risk factors should not be construed as exhaustive. Actual results may differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements are expressly qualified by this cautionary statement.

 


Attachments

Lundin Petroleum - Board resolution Edvard Grieg - 20160630en.pdf