Lundin Petroleum, Europe's independent oil and gas exploration and production company with operations focused on Norway, has increased its stake in the major Rolvsnes oil discovery in the Norwegian North Sea, flagging a potential tieback eventually to its operated Edvard Grieg oil field.
A press statement from the Swedish oil and gas company said: "Lundin has entered into an agreement with Lime Petroleum, a subsidiary of Rex International Holding Limited, to acquire its entire Utsira High acreage position covering the Rolvsnes and Goddo basement area."
The acquisition takes Lundin Norway’s working interest in the Rolvsnes oil discovery in PL338C and in the recently awarded, adjacent licence PL338E1 from 50 to 80 percent and the Goddo prospect in PL815 from 40 to 60 percent. This will consolidate the Company’s position in the proven weathered and fractured basement play on the Utsira High, close to the Edvard Grieg facilities.
The transaction, which is effective from January 2019, involves a cash consideration to Lime Petroleum of USD 43 million and a contingent payment of a further USD 2 million, with completion subject to customary government approvals.
Rolvsnes is located 3 km south of the Lundin Norway operated Edvard Grieg platform on the Utsira High and has a gross estimated resource range of between 14 and 78 million barrels of oil equivalent (MMboe).
Alex Schneiter, CEO and President of Lundin Petroleum commented: “I am very pleased to announce the acquisition of Lime Petroleum’s working interests in Rolvsnes and Goddo, which not only further consolidates our position in one of our core areas, but also offers the opportunity to further benefit from the significant potential in this successfully tested basement play, which is unique on the Norwegian Continental shelf."