DONG Sells Stake in North Sea Licenses

DONG has sold 15% of the Svane and Solsort licenses (4/98 and 3/09) in the Danish sector of the North Sea to VNG Danmark. DONG is reducing its license interests as part of its portfolio optimization. 

An appraisal drilling of the Svane field carried out in 2001 by the then operator ConocoPhillips indicated the possible presence of a large gas reservoir. However, technical problems in connection with the drilling raised uncertainty about the findings. For this reason, a new appraisal drilling is required to determine the volumes and the possibilities of extracting the gas. As announced earlier this year, the detailed planning of the appraisal drilling will take place in 2010, and the license group will then determine the final time schedule for the appraisal drilling. 

An exploration drilling of the Solsort field is yet to be initiated, but is expected to take place this year. 

Thus, DONG Energy has a 35% ownership interest and remains the operator of the Svane and Solsort licenses, respectively. The other owners are Bayerngas (30%), the Danish North Sea Fund (20%) and VNG Danmark ApS (15%).