Atlantic Petroleum has entered into a commercial farm-down agreement with Statoil Petroleum AS related to the PL602 licence.
PL602 is located in the Voring Basin, close to the Aasta Hansteen Field Development. The licence contains several prospects and leads within the same play model as that already proven by the Luva, Haklang and Snefrid discoveries.
Atlantic Petroleum entered into this license in December 2014 through a farm in agreement with Ithaca, and the company currently holds 10% working interest.
Through the farm-down deal Statoil will purchase 2.5% participating interest in PL602 from Atlantic Petroleum for a post–tax cash consideration. After the deal is completed Atlantic Petroleum will have a 7.5% working interest in PL602.
In addition to the 2.5% interest in PL602 Statoil will also get an option to enter in to three other exploration licenses in Atlantic Petroleum’s portfolio (PL704, PL705 and PL802).
CEO Ben Arabo comments: “The farm down to Statoil is part of our wider strategy to realise value in our exploration assets at an early stage. Funds from this transaction will be