Norsk Hydro has entered into an agreement to sell a 30 percent stake in production license 153 in the Norwegian sector of the North Sea to Gaz de France. The sale includes the oil and gas discovery Gjøa.
The transaction is expected to result in an estimated accounting gain for Hydro of approximately NOK 250 million after tax.
"We are very pleased with the sale of our share in PL 153. It is the result of Hydro's active management of the company's oil and gas portfolio. For us, it's a strategic choice. The sale will free up capital for further growth within Hydro's core areas," says senior vice president Torstein Dale Sjøtveit, of Hydro Exploration and Development Norway.
Hydro is keeping its share in the western part of PL 153. Gjøa was discovered in 1989 and is located about 50 kilometers southwest of Florø, Norway. The find is not approved for development and the transaction will therefore not reduce Hydro's proven reserves.
The transaction between Hydro and Gaz de France is subject to approval by the Norwegian authorities. PL 153 is currently owned by Norsk Hydro (30%), Petoro (30%), Statoil (20%), Shell (12%) and RWE-DEA (8%).