Norway to get new oil company
Newcomer Isle-of-Man-based Lime Petroleum Plc is to get help establishing a Norwegian branch from North Energy, reports say.
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North Energy has entered into a Letter of Intent (LoI) with Lime Petroleum Plc (Lime) and Rex Oil & Gas Ltd (Rex) for the sale of North Energy's interests in four licenses, Valberget (PL 503), Zapffe (PL 518), Vågar (PL 526) and Heilo (PL 530).
The sale will be accomplished as soon Lime is pre-qualified as licensee on the Norwegian Continental Shelf. This will depend on the Norwegian authorities' approval, North Energy writes in a press release.
"We have come to know Rex and Lime and their technological approach in exploration in other parts of the world. We look forward to learn more, and have jointly decided that some of our licenses would provide a suitable testing ground for application in Norway. How and to which extent this is done has to be decided by the partners in the different licenses,” says North Energy CEO Erik Karlstrøm.
Exploration company Lime is mainly active today in the Gulf Cooperation Council area, comprising the UAE (United Arab Emirates), the Kingdom of Bahrain, Kingdom of Saudi Arabia, Sultanate of Oman, Qatar, and Kuwait.
Lime wishes to establish a wholly owned Norwegian subsidiary in 2012. Rex is the owner of various exploration technologies.
The parties are now working on the final terms of the agreements, with final approval of these planned by end April 2012.
According to the Lime’s parent company Hibiscus, Lime is expected to hold between 10 and 20 percent of the licenses following the transaction.
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