Finance & Investing
News Services
Newsletters
Get free industry updates via email.
Daily News
Weekly News
Equipment Updates
Weekly Job Register
Monthly Event Guide
Our privacy
pledge.


advertisement

Tullow Buys Spring Energy Norway

change text size

Tullow Oil reported Tuesday that it has agreed to buy Spring Energy Norway for $372 million, while it also announced its intention to dispose of gas assets in the UK and Dutch southern North Sea gas basin.

Tullow, which is well known for its focus on African exploration and production assets, said that the transactions are part of its strategic of active portfolio management, where non-core assets are monetized and the firm's oil exploration portfolio is enhanced.

Spring Energy holds 28 offshore licenses across Norway's continental shelf in the North, Norwegian and Barents Seas. The firm has proved successful in oil exploration, having made six commercial discoveries out of 12 wells drilled since 2008. In 2013 and 2014 it has plans to take part in the drilling of up to 16 exploration wells, of which three will be operated by the company.

Tullow said that its assessment of Spring's exploration portfolio is that it contains in excess of 230 million barrels of oil equivalent of risked prospective resources and has existing reserves and resources of 24 million barrels.

Tullow has decided to divest its exploration, development and production assets in the southern North Sea, where gas produced amounts to approximately 18,000 boepd. This is because it has deemed these assets as non-core to the group since they no longer fit with its light oil-focused portfolio, especially in the light of exploration and development successes in Ghana, Kenya and Uganda.

Meanwhile, in a separate announcement Tullow also announced Tuesday that its Okure-1 exploration well in the Deepwater Tano license, offshore Ghana, has been drilled to its planned total depth of 14,800 feet and discovered a gross 56-foot interval of low net-to-gross oil-bearing Turonian-age sandstones. Light oil with a 40-degree API was recovered from this interval.

Elsewhere in Ghana the Jubilee Phase 1A production well has been brought on stream and is now producing in excess of 16,500 bopd, resulting in field production of more than 90,000 bopd.
 

 



A former engineer, Jon is an award-winning editor who has covered the technology, engineering and energy sectors since the mid-1990s. Email Jon at jmainwaring@rigzone.com

WHAT DO YOU THINK?

Post a Comment Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies

More from this Author
Jon Mainwaring
European Editor | Rigzone.com
 -  Aviation Logistics: ExxonMobil's PNG A... (Aug 29)
 -  Enegi Mulls Newfoundland Divestment, I... (Aug 29)
 -  GE Launches New Xmas Tree to Meet Deep... (Aug 27)
 -  Germany's Energy Transition Dream at R... (Aug 27)
 -  Wood Mac: 10B Barrels of Undeveloped R... (Aug 26)
Most Popular Articles
From the Career Center
Jobs that may interest you
Advising Geophysicist
Expertise: Geophysicist
Location: Houston, TX
 
Exploration Manager
Expertise: Geologist, Geophysicist, Geoscientist
Location: Houston, TX
 
New Ventures Geologist
Expertise: Geologist, Geophysicist, Geoscientist
Location: Houston, TX
 
search for more jobs