Noreco reduces interest in P2032 Valley

Stavanger, 19 December 2013: Norwegian Energy Company (UK) Ltd, a fully owned subsidiary of Norwegian Energy Company ASA, has entered into an agreement to sell 35 percent of UK license P2032 to Total E&P UK.

After this transaction, Noreco will keep a 15 per cent interest in the license. According to the agreement, Total will compensate Noreco by carrying Noreco’s share of seismic costs. If the licence partnership decides to drill an exploration well on the licence, Total will also cover drilling costs for Noreco’s retained interest in the licence. The agreement is effective from 1 December 2013.

The existing carry agreement between Noreco and license partner Trap Oil is still in force, leaving Noreco with a 6.25 per cent paying equity interest in the license.

The transaction is part of Noreco’s portfolio management, and is contingent upon government approval.

Contact:
Ørjan Gjerde, CFO (0047 900 35 738)

This information is subject of the disclosure requirements pursuant to section of 5-12 of the Norwegian Securities Trading Act
 

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About Norwegian Energy Company ASA

Noreco is an independent Norwegian oil company. The company’s focus is to explore, develop and produce oil and gas in the North Sea region. Since incorporation in 2005, the company has grown through license rounds, successful exploration and acquisitions. Noreco operates in Norway, Denmark and United Kingdom, and employs around 70 oil and gas professionals. Noreco is listed on the Oslo Børs (ticker NOR).

For further information, please visit: www.noreco.com