Talisman to Sell Brae Assets for $550M
Talisman Energy Inc.'s wholly owned UK subsidiaries Talisman Energy (UK) Limited and Talisman LNS Limited (Talisman) have entered into an agreement with TAQA Bratani Limited, a wholly owned subsidiary of the Abu Dhabi National Energy Company (TAQA), to sell Talisman's entire non-operated interests in the Brae assets in the UK North Sea to TAQA for a consideration of US$550 million.
"These are high quality assets but non-strategic to Talisman," said Dr. Jim Buckee, President and Chief Executive Officer. "We have exciting and profitable growth opportunities elsewhere in the North Sea, with 10 subsea developments underway. In the meantime we continue to use the proceeds from our asset divestment program to buy back Talisman shares, repurchasing over 10 million shares in December."
Talisman's Brae assets include the following net interests:
--18% interest in the South, North, Central and West Brae fields --18% interest in the Beinn field --16.9% interest in the East Brae field --13% interest in the Braemar field --18% interest in the Brae to Forties oil export line --9% interest in the SAGE pipeline and onshore terminal --9% interest in the Brae-Miller Linkline --Various exploration interests --Transportation and processing revenues from third-party fields
The sale, which is subject to the usual government and third party consents, has an effective date of January 1, 2007 and is expected to complete later in the year.
Talisman's net production from the Brae assets for 2006 averaged approximately 19,000 boe/d. Talisman's proved Brae reserves were 18.5 mmboe with proved plus probable reserves of 34 mmboe as at December 31, 2006.
Talisman Energy Inc. is an independent upstream oil and gas company headquartered in Calgary, Alberta, Canada. Talisman has operations in Canada and its subsidiaries operate in the North Sea, Southeast Asia, Australia, North Africa, the United States and Trinidad and Tobago.
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Company: Abu Dhabi National Energy Co.(TAQA) more info
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