OSLO, Norway--(EON: Enhanced Online News)--Bayerngas UK Ltd today announced it has agreed to purchase from Centrica Resources Ltd their 13% interest in UKCS License P456 containing the Babbage Gas Field. The Field is located in UKCS Block 42/2a in the Southern North Sea and came on-stream in 2010. Current production is from three wells. A second phase of drilling is nearing completion with two more wells expected to increase production before the end of 2013. The effective date of the transaction, which remains subject to regulatory consent, is 1st January 2013. Subject to completion of the transaction, the partners in the license will be E.ON 47% (Operator); Dana Petroleum 40% and Bayerngas 13%. The purchase price has not been disclosed.
Speaking for Bayerngas UK Ltd, Managing Director Gerry Harrison said: “We are delighted to reach agreement with Centrica to purchase this asset. Although relatively small, it complements our existing UK production at Clipper South and our major development project, Cygnus. It also allows us to join strong and experienced partners to evaluate further potential in the license. Together with our existing exploration portfolio, which we will start to test with our first exploration well early next year, we are building a solid UK business.”
About Bayerngas UK Ltd
Bayerngas UK Ltd is a wholly-owned subsidiary of the Bayerngas Norge AS Group. Bayerngas has upstream operations in Norway, Denmark and the UK. These include interests in 5 producing oil and gas fields, 3 fields under development and 61 exploration and production licenses. The group has 90 employees with offices near Oslo, London and Copenhagen. Bayerngas Norge Group was formed in 2006 and is owned by European utility companies in Austria, Germany and Switzerland. For more information, see www.bayerngasnorge.com