New licenses

Today the Ministry of Petroleum and Energy awarded Discover Petroleum shares in two new licenses. The shares pertain to license blocks 7121/3, 7122/1 & 2 (30 percent share) north of Snøhvit in the Barents Sea and block 6305/7 (20 percent share) southwest of Ormen Lange in the Norwegian Sea. These shares come in addition to the share in PL 396, which Discover Petroleum was awarded in the 19th award round in 2006, and is in line with the objective that the company set for itself upon being established roughly two years ago.

"This award does not come as any surprise. We have had a dialogue with the authorities since the main award session in February of this year in order to clarify certain matters concerning HSE. It is nevertheless gratifying that the award is now official, says Yngve Vassmyr, Exploration Director at Discover Petroleum.

The awarding of these two licenses is well suited to Discover Petroleum's strategy with respect to being an active operator in the northern areas (i.e., the Barents Sea and the Norwegian Sea).

"We are satisfied with being awarded two shares, and are already involved in preparing the application for the next round during which we will put much emphasis on securing our company the blocks we are giving highest priority, says Vassmyr. The next round (TFO 2007) has an application deadline at the end of September 2007, and expected awards at the turn of the year 2007/2008.

The company is looking forward to contributing its expertise and input to the work program that shall be executed in connection with these licenses during the coming years. Initial activity will involve collecting seismic data and interpreting new data prior to making any decisions with regard to drilling that might be started in 2 to 3 years.

External links:
http://www.regjeringen.no/nb/dep/oed/pressesenter/pressemeldinger/2007/Flere-tildelinger-i-TFO-2006.html?id=469372

Awarded blocks Barents Sea (.pdf)
Awarded blocks Norwegian Sea (.pdf)