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Statoil and Lundin Petroleum ink deal

Statoil has entered into an agreement with Lundin Petroleum to divest its entire 15% interest in the Edvard Grieg field for an increased shareholding in Lundin Petroleum. The transaction also includes divestment of a 9% interest in the Edvard Grieg Oil pipeline and a 6% interest in the Utsira High Gas pipeline, and in addition payment of a cash consideration of $68m to Lundin Petroleum.

Following completion of the transaction Statoil will own approximately 68.4m shares of Lundin Petroleum, corresponding to 20.1% of the shares and votes.

The two companies will continue to operate independently, and act as separate entities in all licenses on the Norwegian Continental Shelf.

Statoil said it has no plan to further increase its shareholding in Lundin Petroleum.

Alex Schneiter, CEO and president of Lundin Petroleum, commented: “Increasing our resource base, production and cash flow at the bottom of the cycle will, in my view, lead to Lundin Petroleum emerging stronger than ever as an independent company, and continue to build upon the transformational growth already well under way, creating greater sustainable long term value for our shareholders in the process.”

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Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
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