DEA Strengthens Position in Njord Area
DEA strengthens the company’s position in Norway by acquiring participating interest in seven licenses in the Njord area in the Norwegian Sea, including 20 percent increased interest in the Njord field, from Engie E&P Norge AS.
“All together the acquisition adds approximately 45 million barrels o.e (mmboe) in reserves and contingent resources to DEA. This acquisition has attractive economics and establishes DEA as one of the major players in the area and confirms our commitment to growth in Norway,” said Hans-Hermann Andreae, Managing Director of DEA Norge AS.
The agreement with Engie E&P Norge AS includes: 20 percent in the Njord field (PL107 and PL132), 10 percent in the Hyme field (PL348), 10 percent in the Snilehorn discovery (PL348B), 15 percent in the Noatun discovery (PL107B and PL107D) and 20 percent in the North Flank discovery (PL107C).
The Njord Area is one of the key areas for DEA in Norway, and increasing the presence with assets with long production life has been important for the company. “These new additions to our portfolio further build on a strong and diversified asset base in Norway. It is another milestone in our strategy which is structured in organic growth as well as M&A activities,” said Thomas Rappuhn, CEO of DEA Group.
The transaction between DEA Norge AS and Engie E&P Norge AS will be effective from 1 January 2017, and will foster DEA's growth aspiration in Norway in terms of long-life production in a strategically important hub. The agreement is subject to governmental approval.
After the transaction, DEA’s shares in the licenses will be:
- PL 107 AND PL 132 (Njord): 50 percent
- PL 348 (Hyme): 27.5 percent
- PL 348B (Snilehorn): 27.5 percent
- PL 107B and PL 107D (Noatun): 45 percent and 20 percent
- PL 107C (North Flank): 50 percent
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