NAM Sells Certain Assets to Gaz de France

NAM (Nederlandse Aardolie Maatschappij B.V.) has agreed to sell all its assets around the NGT pipeline extension from D15 to L10 to Gaz de France for an undisclosed cash consideration. The transaction concerns NAM's equity interests in production licenses D12a, D15, K2b and K3a, exploration licenses D18a and E17a,b, and the E16a production license application. Apart from D12a, which is operated by Wintershall, all licenses included in this sale are operated by NAM. The respective licenses contain one producing field (D12/D15-FA) and the undeveloped fields D12-A, D18-FA (Orca), E17-FA and K2-FA, as well as the Dutch extension of the UK-Minke field.

The sale has an effective date of July 1, 2003 and is subject to government consent and approval by EBN (Energie Beheer Nederland B.V.). It is expected that the transaction will be finalized by the end of 2003, upon which the assets will be formally transferred to Gaz de France Dutch subsidiaries. Until that moment NAM and its employees will remain responsible for all operations. The transaction will have no direct effect on NAM staff involved.

The sale is part of NAM's drive to rationalize its portfolio and selectively divest assets that not fit NAM's core business. Upon completion of this sale, NAM will have divested all of its offshore "Carboniferous acreage and fields" in the Dutch sector of the Continental Shelf. NAM remains fully committed to Dutch small fields policy of The Netherlands and continues to be the largest natural gas producer in The Netherlands, both offshore and onshore.