Norway's DNO has agreed to acquire a minority stake in Faroe Petroleum from Delek Group as it wants to build a long term strategic shareholding in Faroe Petroleum and support it's growth focused North Sea strategy.
The acquisition is for Delek Group's share capital of 15.37 per cent in Faroe Petroleum, which is an independent oil and gas company listed on the UK's Alternative Investment Market (AIM) since 2003 and focused on exploration, appraisal and production activities in Norway and the United Kingdom. At year-end 2017, Faroe Petroleum has stated 2P reserves of 97.7 million barrels of oil equivalent (MMboe) and 2C resources of 78.6 MMboe; 2017 daily production averaged 14,300 boe.
DNO re-entered the North Sea upstream sector in 2017 through the acquisition of Origo Exploration Holding AS after a six-year hiatus during which the Company built a Middle East presence anchored by the DNO-operated flagship Tawke field in the Kurdistan region of Iraq.
Following Norway's latest Awards in Predefined Areas (APA) 2017 licensing round, DNO holds interests in 19 exploration licenses offshore Norway and the United Kingdom.
DNO said in a statement that it will pursue additional strategic investments and partnerships with established North Sea players.