Statoil and Nautical Petroleum have signed an agreement whereby Statoil will acquire 20.67% of Nautical Petroleum's interest in UK offshore license P335 containing the Mariner field.

This strengthens Statoil's position as operator, and together with its 81.6% in Bressay gives Statoil a more aligned equity interest in the region.

Statoil's share in Mariner after the transaction is 65.1 % and Nautical will retain a 6% participating interest.

Statoil will pay a total of GBP 87.5 million (US $137MM) for the 20.67% share, plus a maximum GBP 3 million carry of Nautical's costs through to the final investment decision.

"Statoil has a lead position in the area being the operator for both the Mariner and Bressay fields. The increased ownership in Mariner gives an even stronger position in offshore heavy oil, a core area in Statoil's international growth strategy," said executive vice president for International E&P, Peter Mellbye.

Operatorship of the Mariner and Bressay fields was acquired in late 2007 with the objective to develop a production hub in a prolific heavy oil area.

Since the initial acquisition Statoil has drilled and tested one successful appraisal well at Bressay and executed two seismic operations at Mariner, confirming material volumes in the area.

The Mariner and Bressay fields have been established as individual development projects and Statoil is working towards an investment decision within 1-2 years.

The transaction is pending approval from partners and the UK authorities

Tags: Nautical Petroleum plc, Statoil