Statoil will increase its equity in four licences on the NCS (illustration: Statoil)

Statoil and Tullow Norge AS have agreed on a transaction whereby Statoil will increase its equity in four licences on the Norwegian continental shelf (NCS). The transaction includes the Wisting discovery in the Barents Sea.

“This transaction reflects our strong belief in the exploration potential on the Norwegian continental shelf and our commitment to create value in the Barents Sea,” says Jez Averty, Statoil’s senior vice president for exploration in Norway and UK.

Statoil has built a substantial exploration portfolio in the Barents Sea through licensing rounds and transactions. Through this transaction Statoil becomes the biggest equity holder in the Wisting discovery, so far the only big discovery in the Hoop area of the Barents Sea.

Statoil has a strong position in the Hoop area and sees further exploration potential which can bring synergies to the area.

“We wish to contribute with our experience, competence and technology to ensure an efficient and profitable development of the Wisting-discovery. Statoil has developed new technologies such as the Cap-X subsea concept and promoted industry cooperation through the Barents Sea Exploration Collaboration (BaSEC) in order to deliver safe and efficient operations,” says Averty.

New, substantial discoveries are required to maintain the production on the NCS, and resource additions from Northern Norway are central in reaching this target. The NPD estimates the Wisting discovery to contain 241 million boe of recoverable resources.

The agreement also gives access to interesting exploration prospects in the Norwegian Sea and the Barents Sea that will be matured for possible drilling in 2018.

The transaction is contingent upon approval of the authorities.

Tags: Statoil, Tullow Norge AS