Stavanger, 28 July 2011: Norwegian Energy Company (Noreco) is pleased to announce that the sale of the company's interests in the Norwegian oil fields Brage and Hyme to Core Energy has now been completed.

 

The consideration to Noreco is USD 85 million net of tax with effective date 1 January 2011. In addition a pro et contra settlement will be made for the interim period between the effective date and the completion date of the transaction.

 

The transaction will have a negative impact on the third quarter 2011 result which is preliminarily estimated to NOK 123 million, of which NOK 19 million is related to results from the interim period. The impact on the company's equity ratio is expected to be slightly positive due to the reduction in total assets. The company's liquidity position will be significantly improved.

 

Contact:
Kjetil Bakken, VP Strategy and Investor Relations (+47 91 889 889)

 

This information is subject of the disclosure requirements acc. to §5-12 vphl (Norwegian Securities Trading Act)