DONG Energy will be acquiring approximately 2.4 per cent of the South Arne
field in the Danish North Sea from Noreco.
Noreco announced 11 August 2011, that the company had made a deal with Hess
stating that Hess was to take over the company's share of the South Arne field.
According to the co-operative agreement for the South Arne consortium the
existing partners holds a pro rata pre-emption right relative to their shares.
DONG Energy as well as Danoil have decided to make use of this right.
”We are very satisfied with the opportunity to increase our share in the South
Arne field. This field has been a strong asset for us for a number of years,
and the acquisition of Noreco's share will give us a further stake in the
existing oil and gas production. At the same time, we are looking forward to
further production from the ongoing development of the field, which shows that
the Danish North Sea is still offering potential”, says Flemming Horn Nielsen,
Country Manager for DONG Energy's Danish oil and gas business.
DONG Energy will pay approximately DKK 0.4 billion for the stake. At the same
time, DONG Energy will be acquiring a similarly increased stake in the current
development of the South Arne field, announced on 26 November 2010, for a sum
of approximately DKK 0.2 billion.
In 2010, South Arne produced 8.2 million barrels of oil equivalent (boe).
The acquisition will take DONG Energy's ownership interest in the South Arne
field to approximately 36.8 per cent. Following Noreco's sale the other owners,
Hess (operator) and Danoil, are taking their ownership shares to approximately
61.5 per cent and 1.7 per cent respectively.
The acquisition is subject to authority approval expected during autumn 2011.
The information provided in this announcement does not change DONG Energy's
previous financial guidance for the 2011 financial year or the announced
expected investment level.
For further information, contact:
+45 9955 9560
Morten Hultberg Buchgreitz
+45 9955 9750
DONG Energy is one of the leading energy groups in Northern Europe. We are
headquartered in Denmark. Our business is based on procuring, producing,
distributing and trading in energy and related products in Northern Europe. We
have approximately 6,000 employees and generated DKK 55 billion (EUR 7.3
billion) in revenue in 2010. For further information, see www.dongenergy.com.
DONG Energy increases stake in South Arne field_03102011.pdf