Investment in UK North Sea Interest

Petrofac, the international oil & gas facilities service provider, announces that its Resources division has acquired a 60% interest in part of Block 211/18a in the UK North Sea containing the Don Southwest discovery. Petrofac has been approved as the licence operator of the interest.

Petrofac has acquired the interest from BP and ConocoPhillips alongside Don Development Company Limited, a subsidiary of Valiant Petroleum, which has acquired the remaining 40% interest. Petrofac also has a 50% interest in the adjoining Block 211/18c, awarded in the 23rd Licensing Round, in which Valiant Petroleum holds the remaining 50%. The future development opportunities of these two interests will be quantified through a remapping exercise across both areas using recently reprocessed seismic data. The Don Southwest area of 211/18a contains a number of wells which have been tested and produced in the Brent Formation.

Amjad Bseisu, Chief Executive of Petrofac Resources, commented: "The Don Southwest acquisition is ideal for Petrofac from a size and location perspective and establishes the 211 area as core for Petrofac. As operator and development partner, we will look to draw on the expertise of our Engineering & Construction and Operations Services divisions with a view to developing the field. As with the West Don area, the export options which are currently under investigation include operating as a satellite tieback to the Thistle platform (where our Operations Services division provides turnkey facilities management services) or to the Murchison and Magnus production facilities."