03:00 Wed 20 May 2020
Jersey Oil & Gas PLC - Completion of the acquisition of Equinor interest
20 May 2020
("
Completion of the acquisition of
The Acquisition, which is not subject to upfront cash payments, provides JOG with an opportunity to create significant value through potentially developing the Verbier discovery as part of the Greater
"I am pleased that JOG has completed this important step to acquire an additional interest and operatorship in the Verbier discovery together with material exploration upside to facilitate our plan to develop Verbier as part of our GBA development. We continue to make solid progress on concept select for the GBA and work closely with contractors, other area stakeholders and the OGA on this important project."
Enquiries:
|
|
C/o Camarco: Tel: 020 3757 4983 |
Strand |
|
Tel: 020 7409 3494 |
Arden Partners plc |
|
Tel: 020 7614 5900 |
|
|
Tel: 020 7236 1010 |
Camarco |
|
Tel: 020 3757 4983 |
Terms of the Acquisition
The consideration for the Acquisition consists of two milestone payments and a royalty based on volumes produced from the Verbier Field, as outlined below:
· Milestone Payments:
-
-
· Royalty Terms:
- A gross revenue royalty on the oil production generated from the Verbier Field calculated on a 70% working interest for on-block volumes at the following levels:
§ 5% for the first 12 million barrels of oil produced and sold
§ 4% for the subsequent 13 million barrels of oil produced and sold
§ 2% for the next 10 million barrels of oil produced and sold
Notes to Editors:
JOG's acreage is estimated by management to contain more than 140 million barrels of oil equivalent ("boe") of discovered mean recoverable resources net to JOG, in addition to significant exploration upside potential. JOG is currently progressing the concept select phase of an FDP for the Greater
JOG is focused on delivering shareholder value and growth through creative deal-making, operational success and licensing rounds. Its management is convinced that opportunity exists within the
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014.
This information is provided by RNS, the news service of the
The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of...
FOR OUR FULL DISCLAIMER CLICK HERE