LONDON, March 29 (UPI) -- Farming into the Handcross prospect in the British waters of the North Sea means access to 115 million barrels of oil equivalent, RWE Dea said.
The German energy company announced it acquired a 20 percent stake in two license areas within the Handcross project from Valiant Causeway, which stays on as operator.
Regional Managing Director Rene Pawel said the acquisition lays a solid foundation for his company's position in the British energy sector.
"The farm-in to Handcross consolidates our acreage position in the U.K. and is another important step in the RWE Dea strategy to grow the U.K. business via exploration drilling," he said in a statement.
The company in 2012 achieved first gas from its Clipper South well in the region's waters. Production there is expected to reach 98.8 million cubic feet.
The British government last year raised taxes on profits from oil and gas production by 12 percent to 32 percent. Officials at the Germany energy company said the increase wasn't helpful but maintained existing development plans.