Det Norske Acquires Premier Oil’s Norwegian Subsidiary
Monday 16 November 2015
Det norske oljeselskap ASA is pleased to announce that the company has acquired Premier Oil Norge AS which comprises all Premier Oil plc’s Norwegian assets for a cash consideration of USD 120 million on a cash free, debt free basis. The transaction is subject to the receipt of government approval, and is expected to complete by year-end.
Premier’s Norwegian assets comprises the operated Vette development and adjacent Mackerel and Herring discoveries (50 percent interest), a non-operated interest in the Frøy field (50 percent interest) and seven exploration licences in the North Sea. Premier has 26 employees in Norway.
At the end of 2015, Premier is estimated to hold tax losses carry forward, undepreciated tax balances and exploration tax refunds equaling approximately NOK 1.0 billion.
The transaction will be funded through existing cash and undrawn debt facilities.