Lundin Petroleum AB

Lundin Oil AB is a Swedish independent oil company exclusively engaged in the exploration and production of hydrocarbons with a geographical focus on Europe, North and East Africa, the Middle East and South East Asia.

Products
Lundin Oil's sales products consist of crude oil, condensate, natural gas liquids (propane and butane) and natural gas (methane). The sales products are determined from the production of the crude oil and gas mix (hydrocarbon mix) that are produced from the respective fields. The split takes place at the processing facilities where the crude oil and gas mix is classified, allocated and sold.

Markets and Pricing
Lundin Oil sells crude oil, condensate and natural gas liquids (propane and butane) at world market prices. Lundin Oil is not dependent on any particular market, but sales take place, together with operators and other partners from those fields in which Lundin Oil holds an interest, at current world market prices, according to valuation models applicable to each field.

The pricing of different crude oils is rather complicated and is primarily done with respect to oil quality, transportation cost and refining cost. The price is expressed in USD per barrel where one barrel corresponds to approximately 159 litres. Sometimes the amount of oil is expressed in tonnes, for example when oil is being transported by tanker. Different oils have different densities and thus the weight of one barrel of crude can vary from another. As a rule of thumb for the most common crudes, 7.33 barrels correspond to one tonne.

Natural gas (methane) is dependent on proximity to a specific market. In the North Sea, Lundin Oil's natural gas is primarily sold to British Gas and is entered in the UK gas grid. Part of the production is sold according to long term contracts, and other parts of the production are sold at prevailing spot prices for UK natural gas.

Address:

Hovslagargatan 5
Stockholm, SE-111 48
Sweden

Contact:

+46-8-440-5450
+46-8-440-5459
www.lundinoil.com

Recent Articles

Lundin: North Sea Oil Find Luno II May Hold 160M Barrels

Monday, May 06, 2013 Lundin estimates that its Luno II discovery off Norway could yield as much as 160 million barrels, the latest in a string of finds that have revived interest in the North Sea.

Johan Sverdrup Appraisal Well Finds Oil

Tuesday, April 09, 2013 Det norske oljeselskap reports that appraisal well 16/2-17S on the Johan Sverdrup discovery has recovered core samples confirming oil.

Lundin Strikes Oil at Luno II

Monday, April 08, 2013 Lundin Petroleum reports that it has made a "potentially significant" oil discovery at its Luno II prospect in the Norwegian North Sea.

Lundin Starts Drilling Carlsberg Prospect

Friday, April 05, 2013 Lundin Petroleum looks to quench its thirst for oil with spud of Carlsberg prospect in the southern North Sea.

Statoil Spuds New Johan Sverdrup Appraisal Well

Tuesday, March 26, 2013 Statoil spuds Johan Sverdrup appraisal well 16/2-17S.

Lundin Reports Dry Well in North Sea

Friday, March 15, 2013 Lundin says its wildcat well 16/1-17, targeting the Jorvik prospect in the North Sea, has come up dry.

Lundin Spuds Luno II Well

Tuesday, March 12, 2013 Lundin Petroleum spuds exploration well 16/4-6S, targeting the Luno II prospect, offshore Norway.

Norwegian Oil, Gas Investments to Slow Down in 2013

Wednesday, March 06, 2013 Official data shows that investments in the oil and gas sector are set to slow down slightly in 2013.

Good Oil Flow Reported from Johan Sverdrup Appraisal Well

Wednesday, March 06, 2013 Lundin Petroleum reports the completion of its appraisal well 16/3-5 on the Johan Sverdrup discovery in the North Sea and that it flowed at 4,700 barrels of oil per day in tests.

Lundin North Sea Well Comes Up Dry

Thursday, February 28, 2013 Lundin Petroleum says it is to plug and abandon well 8/5-1 targeting the Ogna prospect in the North Sea after no hydrocarbons were detected.

Lundin Spuds Jorvik Exploration Well

Monday, February 11, 2013 In a series of announcements, Lundin reports it has spud an exploration well on its Jorvik prospect, while its appraisal well 16/3-5 on the Johan Sverdrup discovery is about to be tested.

Lundin Expects to Produce up to 38,000 boepd in 2013

Monday, February 04, 2013 Lundin expects to produce between 33,000 and 38,000 boepd in 2013, but sees a decline in 2P reserves.

Johan Sverdrup Appraisal Well Successful

Friday, January 25, 2013 Lundin Petroleum and the Norwegian Petroleum Directorate say that the 16/2-16AT2 appraisal well on the Johan Sverdrup discovery in the North Sea has been a success.

Lundin Boosts Production but Sees Increased Costs

Monday, January 21, 2013 Lundin Petroleum boosts production by 7.2 percent to 35,700 boepd, but the firm has also been negatively affected by exploration costs and asset impairment charges.

Details of Norway APA License Awards Emerge

Wednesday, January 16, 2013 Lundin Petroleum, Bridge Energy and Faroe Petroleum announce details of offers in Norway's 2012 Awards in Predefined Areas licensing round.

Lundin Spuds Exploration Well on Ogna Prospect

Monday, January 14, 2013 Lundin Petroleum spuds its exploration well on the Ogna prospect in the Norwegian zone of the southern North Sea.

Wintershall Completes North Sea Wildcat

Friday, January 11, 2013 Wintershall Norge AS, operator of production licence 457, has completed drilling of wildcat well 16/1-16 and appraisal well 16/1-16 A.

Lundin Budgets $1.7B for Upstream in 2013

Monday, January 07, 2013 Lundin Petroeum budgets a total of $1.7 billion for development, exploration and appraisal projects in 2013.

Lundin Increases Ownership in Offshore Brynhild Field

Thursday, December 27, 2012 Lundin Petroleum completes an agreement with Talisman, which sees the former company acquire 20% interest in the Brynhild field, offshore Norway.

Lundin Completes Johan Sverdrup Appraisal Well

Monday, December 10, 2012 Lundin Petroleum successfully completes Johan Sverdrup appraisal well 16/2-16.