17th Jun 2005 08:00
BP PLC17 June 2005 PRESS RELEASE June 17, 2005 This press release was issued late yesterday in Trinidad and Tobago. BPTT AGREES SALE OF TRINIDAD OILFIELDS BP Trinidad and Tobago LLC (bpTT) announced today that it has reached agreementfor the sale of the Teak, Samaan and Poui (TSP) oil fields, off the south eastcoast of Trinidad to Perenco and Neal & Massy Energy. The sale is conditional onwhether Repsol YPF, which is a shareholder in bpTT, exercises its pre-emptionright to purchase the TSP assets. BPTT will retain deep exploration and production rights across the TSP acreage. Repsol has 30 days to exercise its pre-emption right. The Government of Trinidadand Tobago has 60 days to exercise its option to purchase up to 15 per centequity holding in the TSP assets. The consideration payable at completion will be US$229 million. Perenco, who will become the operator, is an experienced independent operatorwith a track record of investing in and extending the life of mature hydrocarbonassets. Neal & Massy Energy is the energy business unit of Neal & Massy HoldingsLimited, a publicly traded conglomerate on Trinidad and Barbados stock exchangeswith more than 80 years of experience in operating companies in Trinidad andTobago and throughout the Caribbean. The TSP fields currently produce approximately 20,500 barrels of oil equivalentper day (five per cent of bpTT's current production of oil and gas). The assetscomprise bpTT's three longest-producing fields, the associated offshoreinfrastructure - 14 platforms - and exploration and production licences. ThebpTT-owned Galeota terminal is not part of this sale; the new owners of TSP willpay bpTT a fee for processing and handling of TSP liquids. BPTT announced itsintention to sell the TSP assets on March 11, 2005. BPTT Chairman and CEO, Robert Riley said: "I am very pleased for bpTT and thepotential buyers. I need to give the highest praise to the members of the TSPteam for their professionalism in maintaining their focus on safely operatingthe fields during the transition period." Subject to Repsol's pre-emption and regulatory and other approvals, bpTT expectsto complete the transaction in September. Notes to editors: • The TSP fields were discovered between 1968 and 1972 and were producing by 1974. Peak production of 144,000 barrels a day occurred in 1977. To the end of 2004, some 834 million barrels of oil have been produced from the fields. • bpTT is the operator of the TSP fields and acreage. • bpTT is owned 70 per cent by the BP group and 30 per cent by the Repsol YPF group. - ENDS - This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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