Hibiscus' unit acquires 30% interest in Lundin-operated PL544

by **Cals** Fri 17 Apr 2015, 00:12

Hibiscus' unit acquires 30% interest in Lundin-operated PL544
KUALA LUMPUR (April 16): Hibiscus Petroleum Bhd ([You must be registered and logged in to see this image.] Financial Dashboard) said its 35%-owned entity, Lime Petroleum Norway AS (Lime Norway), has executed an agreement with Lundin Norway AS (Lundin) to acquire a 30% interest in PL544, which is operated by Lundin.
Following the acquisition of the stake, parties in the license will be Lundin with 40%, Bayerngas Norge AS with 30%, and Lime Norway with the remaining 30%.
“The license is located south of the Edvard Grieg field on the Utsira High in the North Sea, in water depth of around 100 metres. The Fosen prospect is under evaluation for possible drilling in 2015.
“The reservoir target is Upper/Middle Jurassic and the gross unrisked prospective resources is estimated at 192 million barrels of oil equivalent (mmboe),” said Hibiscus in a statement today.
Besides the Fosen prospect, the company said it will evaluate the potential upside of a small gas/condensate discovery in the PL544 license, which was made in Paleocene sands in 2007.
“Drilling in the area around the PL544 license has resulted in some significant discoveries for Lundin in recent years.
“We look forward to working further with Lundin, whom Lime Norway is already partnering with, in a number of other licenses on the Norwegian Continental Shelf. We hope that our partnership with Lundin will yield some positive results, as we leverage on the lower cost environment brought about by the current lower oil prices,” said Hibiscus managing director Dr Kenneth Pereira.
Hibiscus closed 2 sen or 2.45% lower at 79.5 sen, bringing its market capitalisation to RM732.02 million.