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OMV spends big on North Sea assets

Aug. 19, 2013 at 8:36 AM   |   Comments

VIENNA, Aug. 19 (UPI) -- Austrian energy company OMV said Monday it paid $2.65 billion to acquire North Sea oil and natural gas acreage from Norwegian energy company Statoil.

"We are acquiring significant positions in developments lying at the heart of our North Sea growth region," OMV Chief Executive Officer Gerhard Roiss said in a statement.

OMV said its agreement with Statoil includes options for 11 exploration licenses, stakes in the Gullfaks and Gudrun fields on the Norwegian Continental Shelf and the Rosebank and Schiehallion fields west of the Shetland Islands.

The Austrian company said the acquisition would increase its proven and probable reserves by approximately 320 million barrels of oil equivalent. Production is set to increase by 40,000 barrels by 2014.

Production for OMV during the first half of the year was 299,000 barrels of oil equivalent.

Statoil is the largest regional operator.

"Today's transaction unlocks resources for continued investment in our core areas," Statoil President Helge Lund said in a statement. "OMV is a competent and experienced company and we are also pleased to extend our partnership on exploration opportunities and enhanced oil recovery technologies."

OMV last week reported dismal second quarter earnings because of Middle East and North African disruptions as well as lower demand for energy resources from European countries.

Topics: Helge Lund
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