3rd Oct 2005 10:32
BG GROUP plc03 October 2005 Media Information 3 October 2005 BG Group to enter Libya with Licensing Round Awards BG Group is pleased to announce that it has been successful in its bid forexploration licenses in Area 123 (blocks 1 & 2), and Area 171, (blocks 1, 2, 3 &4), in the recent Libyan licensing round held on 2 October 2005. BG will assume 100 percent ownership and operatorship of the Exploration andProduction Sharing Agreements (EPSA) for Area 123 (blocks 1 & 2) and a 50percent interest in the EPSA for Area 171 (blocks 1, 2, 3 & 4) in partnershipwith Statoil (operator). The award of the three licenses is subject toratification by the General People's Committee of Libya, following which anaggregate cash consideration of US$15.5 million will be payable on the signingof the EPSAs. Speaking today, BG Group Executive Vice President for the Mediterranean Basinand Africa, Stuart Fysh, said: "Libya is a prolific hydrocarbon province whichis well placed in the Mediterranean region for the markets of Europe and NorthAmerica. The award of these largely unexplored blocks represents BG's entry intoLibya and offers a good mix of acreage in both an established basin and afrontier area." Blocks 1 and 2 of Area 123 are located onshore in the Sirt basin and coverapproximately 4,750 square kilometers in total. The EPSA work obligation forboth blocks involves acquiring seismic and one exploration well on each block.Area 171, which contains four blocks, is located onshore in the Kufra basin andcovers approximately 11,000 square kilometers. The EPSA work obligation for thisArea involves acquiring seismic and two exploration wells. There are matters discussed in this media information that are forward lookingstatements. Such statements are only predictions and actual events or resultsmay differ materially. For a discussion of important factors which could causeactual results to differ from the forward looking statements, refer to theCompany's annual report and accounts for the year ended 31 December 2004. Notes to Editors: BG Group plc works across the spectrum of the gas chain. Active on fivecontinents in some 20 countries, it operates four business segments -Exploration and Production, LNG, Transmission and Distribution and Power. Enquiries: Communications +44 (0) 118 929 3717 Out of hours media mobile: +44 (0) 791 718 5707 Investor Relations +44 (0) 118 929 3025 Website: www.bg-group.com - ends - This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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