Centrica closes Norwegian shelf acquisitions

Centrica has closed separate acquisitions from Statoil and ConocoPhillips of major Norwegian Continental Shelf oil and gas interests.

Centrica has closed separate acquisitions from Statoil and ConocoPhillips of major Norwegian Continental Shelf oil and gas interests.

It paid Statoil $1.525 billion and might make a further payment of as much as $100 million depending on future production of Kvitebjorn natural gas field.

The deal cuts Statoil’s interests in Kvitebjorn to 39.55% from 58.55%, in Heimdal gas field to 29.553% from 39.553%, and in Valemon gas field to 53.775% from 66.775%. Statoil remains operator of the fields.

In other areas, Centrica acquires Statoil’s only interests. They are: ​Skirne-Byggve ​10%, ​Fulla ​50%, ​Frigg-Gamma-Delta 40%, Vale ​28.853%, and Rind 37.87%.

Centrica said the Statoil acquisition involves proved plus probable reserves of 117 million boe and production of 34,000 boe/d and includes “attractive development potential.”

It acquired ConocoPhillips’s nonoperated interests in Statfjord oil and gas field and satellites for $223 million, including $103 million in historic tax allowances (OGJ Online, Jan. 31, 2012). Centrica’s Statford interest increases to 34.3%. The company estimates proved and probable reserves associated with the deal at 36 million boe.

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