Det Norske to Acquire Noreco's Norwegian Portfolio

Det norske oljeselskap ASA announced Wednesday that it plans to acquire Noreco Norway AS’ Norwegian license portfolio, including a NOK 45 million ($5.19 million) cash balance. The effective date of the transaction would be January 1, 2016.

Noreco’s former license portfolio consists of seven licenses on the Norwegian Continental Shelf, including a 20 percent interest in the Gohta discovery (PL492) in the Barents Sea. Noreco’s 4.36 percent interest in the Enoch field is not included in the transaction.

Karl Johnny Hersvik, CEO of Det norske, said in a company statement:

“Following the recent acquisition of both Svenska Petroleum Norway and Premier Oil’s Norwegian subsidiary, this takeover of Noreco Norway underlines Det norske’s belief in, and commitment to, the Norwegian Continental Shelf.”

The transaction is subject to regulatory approvals and contingent on approval from the NOR06 bondholders. Noreco has received pre-acceptance and voting commitments for the transaction from major bondholders holding a majority of outstanding bonds.