14th Apr 2009 13:06
14 April 2009
PREMIER OIL PLC
("Premier" or "the Company")
Signature of MOU with Sevan in relation to the Shelley field FPSO
Further to the announcement on 25 March 2009 regarding the proposed acquisition of Oilexco North Sea Limited (in administration) ("ONSL"), Premier is pleased to note the announcement made today by Sevan Production UK Ltd ("Sevan") regarding the signature of a Memorandum of Understanding ("MOU") for the continued provision and operation of the Sevan Voyageur Floating Production Storage and Offloading System ("FPSO") for the Shelley field development, in the event that Premier becomes the successful purchaser of either ONSL or the Shelley field. Work will now commence towards conclusion of a fully-termed agreement.
Premier confirms that the MOU envisages that the Sevan Voyageur will be operated under a contract whereby Sevan will be reimbursed for its actual operating cost and will in addition receive a tariff payment based on actual monthly revenue from oil production from the field.
This is an initial step towards the potential development of the Shelley field. This could occur this summer with precise timing dependent on the availability of diving support vessels.
Simon Lockett, Chief Executive Officer, commented,
"The conclusion of this MOU in such a short period of time is testament to the co-operation of the operating teams of both ONSL and Premier. The Shelley field is a good example of the potential upside within the ONSL portfolio which Premier proposes to acquire."
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ENQUIRIES |
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Premier Oil plc |
Tel: 020 7730 1111 |
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Neil Hawkings |
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Pelham PR |
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James Henderson |
Tel: 020 7337 1501 / 07774 444 163 |
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Gavin Davis |
Tel: 020 7337 1515 / 07910 104 660 |
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Evgeniy Chuikov |
Tel: 020 7337 1513 / 07894 608 606 |
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