30th Dec 2013 09:55
LONDON (Alliance News) - Trinity Exploration & Production PLC said Monday it has increased its working interest in the Trintes oil field in Trinidad and Tobago to 100%.
The oil exploration and production independent said the Petroleum Company of Trinidad and Tobago (Petrotrin) had converted its 35% interest in the field to an over-riding royalty arrangement. The Trintes field is part of Trinity's Galeota license, and Petrotrin has retained its 35% stake in the remainder of that license.
Trinity made no upfront payment for Petrotrin's Trintes field stake. However, under the royalty arrangement, it will make royalty payments to Petrotrin based on production levels and the oil price.
Trinity said it signed a new crude oil sales agreement with Petrotrin for the Trintes production, harmonising pricing of Trintes crude with Trinity's other sales agreements, which are linked to the price of West Texas Intermediate crude. The new agreement is effective from August 1, 2013, for two years, with an option for renewal, Trinity said.
It also said it had completed the upgrades on its Rig 2. It said that the start of infill drilling operations, which have been delayed by poor weather offshore Trinidad's east coast, will shortly recommence and take 40 to 45 days to complete.
Trinity shares were quoted at 135.00 pence, up 1.2%, early Monday.
By Tom Waite; [email protected]; @thomaslwaite
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