RNS Number : 0985Z
Petrofac Limited
29 August 2018
Press Release
PETROFAC AWARDED US$600 MILLION PROJECT IN ALGERIA
Petrofac has received a provisional letter of award for an engineering, procurement and construction (EPC) contract worth US$600 million with Sonatrach for EPC1 of the Tinhert Field Development Project in Algeria. Formal contract signing is expected to take place in September 2018.
Located in Ohanet, around 1,500 kilometres southeast of Algiers, EPC1 will provide a new inlet separation and compression centre. Under the terms of the 36-month contract, the scope of work includes a pipeline network of approximately 400 km to connect 36 wells, along with commissioning, start-up and performance testing of facilities.
E S Sathyanarayanan, Group Managing Director, Engineering & Construction, commented: "This award builds on Petrofac's significant track record in Algeria where we have been working in support of the country's oil and gas production for more than two decades.
"We have continued to grow our presence in-country through a number of major EPC and engineering services contracts with Sonatrach, including the Alrar and Reggane projects that commenced production this year, and look forward to deploying our expertise to deliver this project with operational excellence and safe project execution at the core of our approach."
RNS Number : 0996Z
88 Energy Limited
29th August 2018
88 Energy Limited
Operations Update
88 Energy Limited (ASX: 88E) ("88 Energy" or the "Company") provides the following update related to its operations, located on the North Slope of Alaska.
Highlights
· Rig Contract Executed for Western Blocks Drilling 1Q2019
· Winx Prospect located in the proven Nanushuk Play Fairway
o Permitting Progressing on Schedule
Western Blocks - Rig Contract Executed
88E, via its 100% owned subsidiary Captivate Energy Alaska, Inc., has executed a rig contract for the drilling of the Winx Prospect, located on the Western Blocks, North Slope of Alaska.
The Winx -1 well will test a 3D seismically defined oil prospect in the successful Nanushuk play fairway comprising multiple stacked objectives with a gross mean unrisked prospective resource of 400MMbbls (144MMbbls net to 88E) and a geological chance of success in the range of 25-30%.
For further details related to the transaction, please refer to the announcement dated 25th June 2018.
Cautionary Statement: The estimated quantities of petroleum that may be potentially recovered by the application of a future development project relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further exploration, appraisal and evaluation are required to determine the existence of a significant quantity of potentially moveable hydrocarbons.
88 Energy Ltd Managing Director, Dave Wall, commented: "The execution of a rig contract is an important milestone for the Consortium as plans progress to drill the large Winx prospect in the first quarter of 2019."
The rig contract was executed with Nordic-Calista Services utilising Rig 3, which is a single module, self-propelled drilling rig, capable of drilling to depths of 12,000' - 14,500'. The rig structure is fully winterised for Arctic Operations and the rig has previously been utilized for grassroots drilling, exploration, sidetracks and workovers on the North Slope.
An image of the Nordic Calista Rig 3 can be viewed in the pdf version of this announcement which is available at the link below:
http://www.rns-pdf.londonstockexchange.com/rns/0996Z_1-2018-8-29.pdf
About Nordic-Calista Services:
In 1985 Nordic Well Servicing formed a joint venture partnership with Calista Corporation and Nordic-Calista Services was created. Founded in 1972, Calista Corporation is the second largest of the 13 regional corporations formed under the Alaska Native Claims Settlement Act (ANCSA) of 1971. It is a business corporation formed under State and Federal laws, including the Settlement Act and its amendments. In the Shareholders' Yup'ik Eskimo language the name "Calista" translates to "Cali" which means work and "ista" which means someone or something which does.
Nordic-Calista Services is directed by its President, Ron Rowbotham, and Financial Director, James Albach. With over 40 years of oilfield experience, Ron is committed to providing the benefit of his extensive knowledge and experience to each and every customer. Based in Anchorage, Nordic-Calista Services' Operations Manager, Noel Therrien, has over 30 years of service with the company and offers 20 plus years of operations experience in the arctic.
Pursuant to the requirements of the ASX Listing Rules Chapter 5 and the AIM Rules for Companies, the technical information and resource reporting contained in this announcement was prepared by, or under the supervision of, Mr Brent Villemarette, who is a Non-Executive Director of the Company. Mr Villemarette has more than 30 years' experience in the petroleum industry, is a member of the Society of Petroleum Engineers, and a qualified Reservoir Engineer who has sufficient experience that is relevant to the style and nature of the oil prospects under consideration and to the activities discussed in this document. Mr Villemarette has reviewed the information and supporting documentation referred to in this announcement and considers the prospective resource estimates to be fairly represented and consents to its release in the form and context in which it appears. His academic qualifications and industry memberships appear on the Company's website and both comply with the criteria for "Competence" under clause 3.1 of the Valmin Code 2015. Terminology and standards adopted by the Society of Petroleum Engineers "Petroleum Resources Management System" have been applied in producing this document.
RNS Number : 0483Z
Aminex PLC
29 August 2018
AMINEX PLC
("Aminex" or "the Company")
Kiliwani North Update
As previously announced, pressure at the Kiliwani North-1 well has continued to build up and the Company has commenced remediation work on the well. The Company initially plans to repair a faulty valve during the current quarter, which is expected to allow for gas to flow from the well and evaluate operational parameters at the reservoir and gas processing facility. Pending approvals, the Company will then proceed to perforate a lower untested and potentially gas bearing section of the reservoir system which is anticipated to occur during the fourth quarter with the intent to bring the well back to full time production.
The Company has identified areas on its Kiliwani North and Nyuni Area concessions over which it is planning to acquire up to 275 km2 of 3D seismic in order to de-risk prospects and leads. Pending approval to acquire seismic over both concessions simultaneously, which will optimise expenditure and benefit the data acquisition process itself, the 3D seismic programme is intended to identify undrained compartments in the Kiliwani North structure and high-grade the Kiliwani South prospect to drill-ready status. Kiliwani South is estimated to have 57 BCF mean un-risked GIIP, as reviewed by RPS Energy as part of its Competent Persons Report. The Kiliwani North Development Licence has existing gas terms, a 25-year development licence to 2036, and any further drilling success could be produced and monetised through the national pipeline.
Jay Bhattacherjee, Chief Executive Officer said:
"The Company believes that, given the significant production surrounding Songo Songo Island and the geological properties identified in Kiliwani North, there remain significant opportunities to pursue additional development of the Kiliwani North Development Licence as the commercial terms are already in place."
RNS Number : 9339Y
Faroe Petroleum PLC
28 August 2018
Faroe Petroleum plc
("Faroe", "Faroe Petroleum", the "Company")
DNO Withdraws Faroe General Meeting Requisition
The Board of Faroe Petroleum plc ("Faroe," "Company," "Board"), the independent oil and gas Company focusing principally on exploration, appraisal and production opportunities in Norway and the UK, notes that DNO ASA ("DNO") has withdrawn its notice requisitioning a General Meeting to appoint its own nominated directors to the Board.
The Board is pleased that DNO has withdrawn the requisition which would have been costly and time consuming and, the Board believes, would ultimately have been soundly defeated based on the Board's discussions with its major institutional shareholders.
The Board notes the reasons given for this withdrawal and to which it does not give any credence. However the Board reiterates its views as expressed in its announcement of 16 August 2018, notably that the appointment of DNO nominated directors would be inconsistent with the principle of an independent board and normal practice and precedent for companies operating on the Norwegian Continental Shelf.
Faroe maintains a strong corporate governance culture in line with UK corporate governance best practice with five Independent Non-Executive Directors representing the interests of all shareholders. In keeping with this, the Chief Executive and the Senior Independent Director of Faroe both wrote separately to DNO earlier this year to offer a meeting but no response was received to either communication. The Company welcomes a constructive dialogue with all shareholders and will continue to seek active engagement with DNO as it does with all its major shareholders.
RNS Number : 9337Y
Faroe Petroleum PLC
28 August 2018
Faroe Petroleum plc
("Faroe", "Faroe Petroleum", the "Company")
Agar/Plantain Exploration and Appraisal Well Commences
Faroe Petroleum, the independent oil and gas company focusing principally on exploration, appraisal and production opportunities in Norway and the UK, notes the announcement made today by Azinor Catalyst Limited ("Catalyst"), the operator of the Agar Plantain exploration and appraisal well on the UK Continental Shelf ("UKCS").
Catalyst confirmed that the Plantain exploration well spud at approximately 6:00pm on 24 August 2018 using the Transocean Leader drilling rig. The well is expected to take approximately 28 to 38 days to complete and will be drilled to a depth of 1,845 metres TVDSS. The Plantain well will be followed by a contingent side-track to appraise the discovered Agar field. The total estimated gross cost of well operations is US$15 million. The results will be announced on completion of drilling operations.
Faroe announced on 14 August 2018 that it had farmed into the Agar Plantain exploration and appraisal well taking a 25% interest on the sole risk drilling activity and a 12.5% interest in the wider P1763 Licence alongside Catalyst's existing partners Apache Corporation and Cairn Energy PLC. Plantain is an Eocene oil prospect which follows on from the original Agar oil discovery in 2014 (9/14a-15A) and the analogous Frosk oil discovery (24/9-12 S) made in Norway by AkerBP earlier this year.
Operator volumes in Agar and Plantain have been estimated by Catalyst at a combined mid-case prospective resource of 60 million barrels of oil equivalent, with an upside case of 98 million barrels of oil equivalent.
Graham Stewart, Chief Executive of Faroe Petroleum, commented:
"We are pleased to announce the spudding of the Plantain exploration well which is the first in a sequence of seven committed wells in Faroe's current exploration and appraisal programme. The next prospect is the Faroe-operated Rungne exploration well due to spud in September, located in Faroe's core area of the Norwegian North Sea."
RNS Number : 9350Y
Echo Energy PLC
28 August 2018
Echo Energy plc
("Echo" or the "Company")
CSo-2001(d) Well Completion and EMS-1001 Test Planning
Echo Energy plc, the Latin American focused upstream oil and gas company announces the completion of testing of the CSo-2001(d) well and its suspension for a period of pressure monitoring at the Company's Fracción D asset, onshore Argentina, operated by Compañía General de Combustibles S.A. ("CGC").
The CSo-2001(d) well reached a total depth of 1,511m in the Upper Jurassic Tobifera formation across which, as previously reported, significant gas and hydrocarbon shows were recorded both on driling and wireline log data.
The testing programme has demonstrated that long term production from the adjacent Springhill formation has caused significant pressure depletion across this western flank of the field, and that the remaining gas in the underlying Tobifera will likely be insufficient to contribute economically to the Fraccíon D gas project.
This depletion does not impact the Eastern flank of the Canandon Salto field, which has demonstrated through testing and pressure monitoring of the CSo-85 well that the extensive gas resource to the east remains economically viable for a monetisation project and that the information gathered will now enable the appropriate planning, sizing and timing of the required infrastructure.
As previously announced, following the successful workover of the CSo-80 well earlier in the year, a pump will now be installed on that well, and additionally a further 3 candidates for workover activities (pulling jobs) have been selected to restore or improve existing production. The Quintana-1 rig will now remain in the field area to complete these activities which are anticipated to be completed within the next 6 weeks.
The Company will also now work to finalise preparations for testing on the important EMS-1001 well, including the potential stimulation of select intervals which were interpreted as hydrocarbon bearing upon drilling. The Company again cautions that log results in this complex reservoir may not be conclusive indicators prior to testing of the well.
Fiona MacAulay, Chief Executive Officer of Echo, commented:
"Whilst disappointing to see the extent of the depletion effects of the Springhill formation production into this reservoir, the CSo-2001(d) well was drilled in part to help us understand the volumes to be dealt with for the gas monetisation project in Fracción D, and phasing of that development. The focus of any plan will now concentrate on the dry gas of the Springhill Formation contained within the eastern flank of the field area to enable the right sizing of that project. The pulling projects that the rig is now moving to, including the pump installation project on the CSo-80 well, will enable a near term boost to oil production whilst we finalise planning for both the stimulation of the ELM-1004 well and further evaluation and testing of the EMS-1001 well, both anticipated later this year."
Ithaca Energy Limited (IAECN: ISINs US465676AA22 / USC48677AA34) (the "Company") announces it has entered into agreements to acquire all the Greater Stella Area ("GSA") licences and associated infrastructure interests of Dyas UK Limited ("Dyas") and Petrofac Limited ("Petrofac"). The acquisition materially increases the Company's production and reserves base, while simultaneously delivering full control and flexibility over the long term development of the GSA production hub.
The transaction involves the acquisition of all Dyas' and Petrofac's interests in the licences noted in the following table and each company's interests in FPF-1 Limited, the company that owns the FPF-1 floating production facility that is used on the GSA production hub. In addition, the transaction includes the transfer of Dyas' interests in the Ithaca-operated (non-producing) Jacky and Athena licences.
Petrofac's Interest
FPF-1 Limited 24.8%
Stella / Harrier 20%
Hurricane 20%
RNS Number : 7939Y
Petrofac Limited
24 August 2018
Press Release
PETROFAC AGREES TO SELL INTEREST IN GREATER STELLA AREA DEVELOPMENT
Petrofac Limited ("Petrofac" or "the Company") announces that it has today signed an agreement to sell Petrofac GSA Holdings Limited(1) to Ithaca Energy (UK) Limited ("Ithaca") for a total consideration of up to US$292 million. Petrofac GSA Holdings Limited owns Petrofac's 20% interest in the Greater Stella Area development and its 24.8% interest in the FPF1 floating production facility(2). Petrofac GSA Holdings Limited also owns Petrofac's long-term receivable from the GSA joint operation partners(3).
Under the terms of the agreement, Ithaca will pay approximately US$145 million by or on completion and a further US$120 million of non-contingent deferred consideration in the period 2020-2023. A further US$28 million of contingent consideration is payable depending on field performance.
The transaction is expected to complete in Q1 2019 and is subject to several conditions precedent, including completion of Ithaca's acquisition of Dyas UK Limited's 25% interest in the Greater Stella Area development and its shares in the FPF1 Company in accordance with the agreement executed by Ithaca and Dyas today.
Petrofac estimates that the transaction will result in a post-tax impairment charge of approximately US$55 million(4). Proceeds from the sale will be used to reduce gross debt. Petrofac will continue to provide Duty Holder services to the FPF1 floating production facility on a life of field contract.
Petrofac's Group Chief Executive, Ayman Asfari said: "This disposal marks a further milestone in our journey back to a capital-light business and, along with recently-agreed transactions in Mexico and Tunisia, marks the significant progress we are making on our stated strategy."
NOTES
1) The gross assets being disposed of had a carrying amount of US$341 million at 31 December 2017. The net assets being disposed of had a carrying amount of US$249 million at 31 December 2017. Petrofac GSA Holdings Limited group made a business performance net profit of US$15 million for the year ended 31 December 2017 and approximately US$18 million in the six-month period ended 30 June 2018.
2) The Company owning the FPF1 floating production facility ("FPF1 Company") currently has an option to require Petrofac to acquire the FPF1 floating production facility on cessation of production from the development. The price for the first five years is US$127 million, declining in value thereafter. The option will be extinguished on completion of the transaction.
3) The receivable balance of US$124 million at 31 December 2017 is included in the gross assets and net assets carrying amounts in note 1 above.
4) This is subject to change and the actual charge will take into account, inter alia, the net assets at the date of completion.
RNS Number : 2214Y
Premier Oil PLC
20 August 2018
This announcement has been determined to contain inside information
PREMIER OIL PLC
("Premier")
Tolmount development sanctioned
20 August 2018
Premier is pleased to announce that the development of its Tolmount Main gas field has been sanctioned by the joint venture and infrastructure partners.
The Premier-operated Tolmount Main gas field, located in the Southern North Sea, is expected to produce around 500 Bcf of gas (96 mmboe) with peak production of up to 300 mmscfd (58 kboepd).
The project entails a minimal facilities platform exporting gas to shore via a new gas pipeline. The EPCIC (Engineering, Procurement, Construction, Installation & Commissioning) contract for the platform has been awarded to Rosetti Marino. Centrica's Easington terminal has been selected as the host facility and Saipem as the pipeline EPCI contractor. Selection of the rig contractor for the four development wells is expected imminently.
Premier's share of the capex required to develop this large gas field is estimated at US$120 million comprising project management and development drilling costs. The infrastructure joint venture between Humber Gathering System Limited (a member of the CATS Management Limited group of companies) and Dana Petroleum will own and pay for the platform and pipeline capex as well as pay for upgrades to the onshore terminal. In return, Premier will pay a tariff for the transportation and processing of Tolmount gas through the infrastructure.
The Tolmount Main project now moves into the execution phase with construction works scheduled to start later this year. First Gas is targeted for Q4 2020.
The partners in the Tolmount gas field are Premier (50 per cent, operator) and Dana Petroleum (50 per cent).
Tony Durrant, CEO, commented
"The sanction of our high return Tolmount project marks a major milestone for Premier and underpins our medium term UK production profile. Tolmount is one of the largest undeveloped gas discoveries in the Southern North Sea and is, in barrel of oil equivalent terms, similar in size to our Catcher project. We have also secured an innovative financing structure for the project which minimises our capital expenditure whilst maintaining our exposure to the upside in the Greater Tolmount Area."
Vodafone Surges on Report Activist Elliott Took Stake in Carrier
Vodafone Group Plc rose the most in almost six months after DealReporter said U.S. activist investor Elliott Management Corp. has taken a new stake in the world’s second-largest mobile carrier.
The stock rose as much as 4.1 percent, the most intraday since Feb. 2, and advanced 3.4 percent to 186.08 pounds at 3:43 p.m. in London.
Elliott Advisors, the European arm of New York-based Elliott Management, first approached Vodafone several weeks ago and has held conversations with management and at least one board member, DealReporter said, citing unidentified sources familiar with the situation. Elliott is pressing for changes at the carrier, DealReporter said, without specifying. The size of the stake isn’t known but is significant, according to the report.
Representatives for Vodafone and Elliott declined to comment.
A decline in European quarterly sales that Vodafone reported last week has piled pressure on incoming Chief Executive Officer Nick Read to confront mounting competition in southern Europe and make a success of its $22 billion takeover of Liberty Global Plc’s German and eastern European businesses.
Vodafone has gone from being a challenger to Europe’s former telecom monopolies to part of an industry establishment under assault from new entrants offering simple, pared-down subscriptions.
— With assistance by Joe Mayes, and Scott Deveau
RNS Number : 3926T
Glencore PLC
03 July 2018
Glencore plc
Baar, Switzerland
3 July, 2018
Subpoena from United States Department of Justice
Glencore Ltd, a subsidiary of Glencore plc, has received a subpoena dated 2 July, 2018 from the US Department of Justice to produce documents and other records with respect to compliance with the Foreign Corrupt Practices Act and United States money laundering statutes. The requested documents relate to the Glencore Group's business in Nigeria, the Democratic Republic of Congo and Venezuela from 2007 to present.
Glencore is reviewing the subpoena and will provide further information in due course as appropriate.
RNS Number : 2288R
Dixons Carphone PLC
13 June 2018
Dixons Carphone plc
Investigation Into Unauthorised Data Access
As part of a review of our systems and data, we have determined that there has been unauthorised access to certain data held by the company. We promptly launched an investigation, engaged leading cyber security experts and added extra security measures to our systems. We have taken action to close off this access and have no evidence it is continuing. We have no evidence to date of any fraudulent use of the data as result of these incidents. We have also informed the relevant authorities including the ICO, FCA and the police.
Our investigation is ongoing and currently indicates that there was an attempt to compromise 5.9 million cards in one of the processing systems of Currys PC World and Dixons Travel stores. However, 5.8m of these cards have chip and pin protection. The data accessed in respect of these cards contains neither pin codes, card verification values (CVV) nor any authentication data enabling cardholder identification or a purchase to be made. Approximately 105,000 non-EU issued payment cards which do not have chip and pin protection have been compromised. As a precaution we immediately notified the relevant card companies via our payment provider about all these cards so that they could take the appropriate measures to protect customers. We have no evidence of any fraud on these cards as a result of this incident.
Separately, our investigation has also found that 1.2m records containing non-financial personal data, such as name, address or email address, have been accessed. We have no evidence that this information has left our systems or has resulted in any fraud at this stage. We are contacting those whose non-financial personal data was accessed to inform them, to apologise, and to give them advice on any protective steps they should take.
Dixons Carphone Chief Executive, Alex Baldock, said:
"We are extremely disappointed and sorry for any upset this may cause. The protection of our data has to be at the heart of our business, and we've fallen short here. We've taken action to close off this unauthorised access and though we have currently no evidence of fraud as a result of these incidents, we are taking this extremely seriously. We are determined to put this right and are taking steps to do so; we promptly launched an investigation, engaged leading cyber security experts, added extra security measures to our systems and will be communicating directly with those affected. Cyber crime is a continual battle for business today and we are determined to tackle this fast-changing challenge."
This release contains inside information.
RNS Number : 2276R
88 Energy Limited
13 June 2018
13th June 2018
88 Energy Limited
Operations Update
88 Energy Limited (ASX: 88E) ("88 Energy" or the "Company") is pleased to announce the following update for its projects located on the North Slope of Alaska.
Highlights
· Flowback commenced at Icewine#2
Project Icewine - Icewine#2 Production Testing
Flowback commenced, on schedule, at 22:30 11th June (AK time) to clean-up stimulation fluids from the Icewine#2 borehole with a well head pressure of 3,000 psi and flowback rate of 253 barrels of water per day. As at 1230 12th June (AK time), wellhead pressure was 816 psi with a flowback rate of 160 barrels of water per day. Based on the pressures and flow rates, there is no indication of any impediment to flow through the perforations at this stage. A production log has been run to confirm this, and the results will be disclosed to the market once the report has been finalised.
At this early stage of flowback, the fluid has not been run through the separator, so the hydrocarbon rate has not been measured. Flowback through the separator and gas chromatograph is expected to commence today.
The velocity string, comprised of 1.75" coiled tubing, is ready to be installed and connected to nitrogen lift utilising a membrane unit, currently set-up on location.
The Icewine#2 well is located on the North Slope of Alaska (ADL 392301). 88 Energy Ltd (via its wholly owned subsidiary, Accumulate Energy Alaska, Inc) has a 77.55% working interest in the well. The well was stimulated in two stages over a gross 128 foot vertical interval in the HRZ shale formation, from 10,957-11,085ft TVD, using a slickwater treatment comprising 27,837 barrels of fluid and 1,034,838 pounds of proppant.
Pursuant to the requirements of the ASX Listing Rules Chapter 5 and the AIM Rules for Companies, the technical information and resource reporting contained in this announcement was prepared by, or under the supervision of, Mr Brent Villemarette, who is a Non-Executive Director of the Company. Mr Villemarette has more than 30 years' experience in the petroleum industry, is a member of the Society of Petroleum Engineers, and a qualified Reservoir Engineer who has sufficient experience that is relevant to the style and nature of the oil prospects under consideration and to the activities discussed in this document. Mr Villemarette has reviewed the information and supporting documentation referred to in this announcement and considers the prospective resource estimates to be fairly represented and consents to its release in the form and context in which it appears. His academic qualifications and industry memberships appear on the Company's website and both comply with the criteria for "Competence" under clause 3.1 of the Valmin Code 2015. Terminology and standards adopted by the Society of Petroleum Engineers "Petroleum Resources Management System" have been applied in producing this document.
RNS Number : 1870R
Glencore PLC
13 June 2018
Glencore plc
Baar, Switzerland
12 June, 2018
Katanga Mining announces settlement of DRC Legal Dispute with Gécamines and Agreement for the Resolution of KCC's Capital Deficiency
Glencore refers to the announcement today by Katanga Mining Limited ("Katanga") in which it announced the settlement of the DRC legal dispute with La Générale des Carrières et des Mines ("Gécamines") and an agreement for the resolution of the capital deficiency at Katanga's 75% owned DRC operating subsidiary Kamoto Copper Company ("KCC").
Glencore is pleased that this matter has now been resolved and looks forward to supporting KCC's closer partnership with Gécamines as the parties work together to ensure that the Joint Venture reaches its full potential for the benefit of all stakeholders.
The key highlights of Katanga's settlement agreement with Gécamines are as follows:
· Conversion of US$5.6 billion of KCC's total debt of approximately US$9 billion into new KCC equity such that, with retroactive effect as at January 1st, 2018, KCC has $3.45 billion of debt to KML Group, bearing interest at the lower of US$ Libor 6 month + 3% and 6% per annum;
· Katanga and Gécamines' shareholdings in KCC remain unchanged at 75% and 25% respectively;
· a one-time payment to Gécamines of US$150 million relating to historical commercial disputes;
· certain amendments to the dividend payment and free cash flow provisions of KCC including an amortization schedule for the repayment of the residual debt;
· payment of approx. $US 41 million to Gécamines in relation to outstanding expenses incurred as part of an exploration program;
· waiver by KCC of its entitlement (or financial equivalent) to replacement reserves and associated incurring of drilling costs on Gecamines' behalf, amounting to US$285 million and US$57 million respectively, and
· withdrawal of all legal action by Gécamines.
Other key terms are detailed in the Katanga press release at the following link: http://www.katangamining.com/media/news-releases/2018.aspx.
The entry of the settlement agreement between Katanga and Gécamines constitutes a smaller related party transaction as defined in Listing Rule 11.1.10 because Gécamines holds more than 10% of the voting rights in a material subsidiary of Glencore. Accordingly, as a condition precedent to the Settlement Agreement becoming effective, Glencore must obtain written confirmation from a sponsor that the terms of the Settlement Agreement with Gécamines are fair and reasonable as far as the shareholders of Glencore are concerned. Glencore aims to obtain such written confirmation on or before 14 June, 2018.
RNS Number : 9451O
Faroe Petroleum PLC
23 May 2018
Faroe Petroleum plc
("Faroe", the "Company")
Brasse East Well Commitment
Faroe Petroleum, the independent oil and gas company focusing principally on exploration, appraisal and production opportunities in Norway and the UK, is pleased to announce the commitment by the PL740 Brasse Joint Venture partners (Faroe 50% and operator and Point Resources 50%) to drill the Brasse East exploration well and award the associated rig contract, with commencement of drilling operations expected in Q4 2018.
Recent seismic reprocessing and reinterpretation work has identified significant hydrocarbon potential in the vicinity of the eastern flank of the Brasse field, which was discovered in 2016. Success could add further incremental volumes to the existing 2P reserves of 30.7 mmboe (net to Faroe) for the Brasse field development. This new Brasse East exploration well demonstrates the progressive approach being adopted by the Brasse Joint Venture towards derisking the wider prospective areas both to the east and the north east of the Brasse field, which includes the Brasse Extension prospect. It is envisaged that any additional volumes proven by the Brasse East exploration well may be developed in conjunction with the planned Brasse field development.
Faroe, as licence operator, has entered into a contract for the use of the Transocean Arctic semi-submersible rig for drilling of the Brasse East well, back-to-back and immediately following drilling of the Rungne exploration well in PL 825 (Faroe 40% and operator), for which the Transocean Arctic is already on contract. Both wells are expected to be drilled in H2 2018.
The Brasse discovery is located immediately to the south of the Brage field and to the south east of the Oseberg field. At the end of 2017, the Brasse field development feasibility study phase was completed, confirming several economically attractive development solutions and export routes. Concept studies are currently progressing according to plan. The co-venturer in the Brasse PL 740/PL 740 B/PL 740 C licences is Point Resources AS (50%).
Graham Stewart, CEO, commented:
"I am pleased to announce the addition into our 2018 exploration drilling programme of the Brasse East exploration well, which brings the total number of exploration and appraisal wells planned for the year to six. The Brasse development programme continues apace as we work towards concept selection by year end. If successful the Brasse East well could contribute significant additional hydrocarbons, thereby potentially adding further value to this attractive flagship development project.
"Meantime we await results of the ongoing side-track and potential flow testing operations at the Fogelberg field. We are also preparing for drilling of the exciting, high impact Faroe-operated Rungne exploration well, our next exploration well, scheduled to spud in late summer."
RNS Number : 4973O
Petrofac Limited
18 May 2018
Press Release
18 May 2018
PETROFAC ANNUAL GENERAL MEETING
Petrofac Limited ("Petrofac" or "the Company") holds its Annual General Meeting today. At the meeting, Group Chief Executive Ayman Asfari will reiterate that Petrofac delivered solid full year results in 2017 and is well positioned in 2018.
Mr Asfari said: "We delivered solid full year results in 2017, with business performance net profit up 7% to US$343 million dollars, underpinned by good project execution, high levels of activity, strong financial discipline and an excellent safety record. We saw a strong recovery in new orders, maintained our bidding discipline and continued to deliver our strategic objectives.
"We also continue to make good progress in 2018 delivering our strategy of focusing on our core, delivering organic growth and reducing capital intensity. Tendering activity remains high and the Group has been awarded more than US$1.7 billion of new orders in the year to date. We recently announced our exit from the deep-water market through the sale of the JSD6000 installation vessel, and we continue to retain strong liquidity."
Commenting on Board changes taking effect at today's meeting, Mr Asfari said: "I would like to thank our Chairman Rijnhard van Tets who steps down after many years of committed service to the Board, the last three as Chairman. This period has not been without challenge, and I commend Rijnhard for his unstinting commitment, wise counsel and sound leadership of the Board. René Médori brings important continuity as incoming Chairman and I look forward to working with him in his new role."
Rijnhard van Tets said: "I would like to thank my fellow Board members, and the executive management team, for their support. Petrofac has a clear, focused strategy and I have every faith it will continue to grow and prosper over the longer term. I wish Ayman and the team every success in the future."
Petrofac has secured a long-term Framework Agreement (FA) with Transmission Capital to provide engineering services across six of its OFTO (Offshore Transmission Owner) assets.
Under the Agreement, which is for five years, Petrofac has already been awarded two subsea engineering work scopes on key export cables connecting the Lincs and Robin Rigg offshore windfarms with their onshore transmission systems. The FA will enable Petrofac to support future engineering requirements across all of Transmission Capital’s OFTO export cables and substations in the Southern North Sea and Irish Sea.
The award builds upon Petrofac’s recent successes in the UK and German offshore wind markets, where it has been providing Engineering, Procurement and Construction support on major fixed and floating wind developments, and designing and engineering subsea cables.
Commenting, Usman Darr, Vice President Engineering Services for Petrofac Engineering and Production Services, West said: “This award reflects Petrofac’s growing position in the offshore wind market, where we continue to build our track record of delivering a strong, technically competent service for our clients.
“We very much look forward to having the opportunity to leverage our experience of challenging seabed conditions on behalf of Transmission Capital, through a range of multi-discipline engineering and operational support services.”
Oilfield Services Firm Petrofac Looks To Exit Upstream Oil Business
By Tsvetana Paraskova - May 11, 2018, 7:00 PM CDT
Oilfield services provider Petrofac has hired banks to help it sell its oil assets in Mexico and is looking to scale back its upstream oil and gas business, Reuters reported on Friday, quoting several banking sources.
London-listed Petrofac has hired investment banks HSBC and Barclays to help it with the sale of the oil fields it has in Mexico, as the oilfield services provider is now looking to refocus on its core business—onshore engineering and construction.
Petrofac became the first foreign firm to operate state oil fields in Mexico in more than 70 years, when in 2012 Mexican state-run company Petróleos Mexicanos (Pemex) awarded it two integrated services contracts.
Apart from the Mexican fields, Petrofac may also consider divesting its assets in the Greater Stella Area in the UK’s North Sea, according to Reuters’ sources.
Ithaca Energy, owned by Israel’s Delek Group, could make an offer for Petrofac’s Greater Stella assets, one of the sources told Reuters.
Ithaca Energy holds a 54.66-percent working interest in Greater Stella, while Petrofac is one of the other two shareholders with a 20-percent stake.
Petrofac—which designs, builds, operates, and maintains oil and gas facilities—ventured into oil and gas production projects in the early 2000s before the oil price crash of 2014.
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But the lower oil prices have hit Petrofac’s Integrated Energy Services (IES) division, for which the company reported in its 2017 results lower cost recovery in Mexico, reflecting lower capital investment.
Petrofac is under investigation by the UK Serious Fraud Office (SFO) in connection with an investigation into the activities of Unaoil. The investigation is wide ranging in time and scope, and relates to the activities of Petrofac, its subsidiaries, and their officers, employees, and agents for suspected bribery, corruption, and/or money laundering, Petrofac said in February an update on the investigation that the SFO announced in May 2017.
OOCEP extend technical services contract with Petrofac.
Petrofac Oman E&C LLC (“Petrofac”) has been awarded a Technical Support Services contract by Oman Oil Company Exploration & Production LLC (“OOCEP”), under which Petrofac will provide, amongst other things, technical services, including support services, for the OOCEP’s Abu Bu Tabul (ABB) gas facility and Musandam Gas Plant (MGP) in Oman.
Petrofac has drawn upon its extensive operating track record, leading asset integrity process and toolkit to work with OOCEP to monitor and manage risks related to asset integrity and safety. OOCEP, working closely with Petrofac, has developed its own operating capability and systems to assume operational management of the facilities.
The extended collaboration follows a three-year contract during which Petrofac successfully delivered operations and maintenance (O&M) services at ABB and MGP for OOCEP. Within the new technical support services contract, Petrofac will deploy engineering and operations personnel across OOCEP’s asset portfolio.
Steve Webber, Senior Vice President, Engineering and Operations for EPS East said, “This is a great example of Petrofac working with national oil companies to deliver high standards for safety and for operating new facilities, as well as sharing industry best practice and working collaboratively. For the last three years, we’ve focused on improving the awareness of process safety and risk assessment amongst the facility’s operating personnel. We’re delighted to continue working with OOCEP as this will allow us to share invaluable knowledge and experience, which will be retained going forward with the award of the new technical services contract to Petrofac.
“With this new contract framework we have created a mechanism through which we can work together with OOCEP on the operational needs of its asset portfolio over the long-term.”
RNS Number : 8893L
Petrofac Limited
24 April 2018
Press Release
PETROFAC SELLS JSD6000 PROJECT TO ZPMC
Petrofac Limited ("Petrofac" or "the Company") announces that Petrofac International (UAE) LLC has signed an agreement to sell the JSD6000 project to Shanghai Zhenhua Heavy Industries Co Ltd (ZPMC).
The transaction comprises the sale of all JSD6000 related assets held by Petrofac, including the owner furnished equipment, for a gross consideration of US$190 million and a 10% interest in a new special purpose vehicle set up to own the vessel once commissioned. Petrofac will provide technical support for the construction of the vessel, which is expected to complete in 2022(2). Petrofac will not contribute to the cost of construction, commissioning or testing of the vessel.
The total consideration of US$190 million is offset by a net amount of US$23 million retained by Petrofac under the previous hull and marine contract with ZPMC. The remaining US$167 million net cash consideration will be received as follows: US$92 million within 20 business days; a further US$70 million in stages as assets are physically transferred (expected to be over the period mid-2018 to early 2019); and, a final amount of US$5 million upon commissioning of the vessel. The proceeds from the sale will be used to reduce gross debt.
Petrofac's Group Chief Executive Ayman Asfari said: "This agreement materially completes our disposal of the project, in line with our stated intention to exit the deep-water market. It is a further positive step in the execution of our stated strategy to focus on our core strengths, deliver organic growth and reduce capital intensity."
Ends
Notes:
1. The assets being disposed were classified as assets held for sale at 31 December 2017 and had a carrying amount of US$217 million There are no profits attributable to the assets that are the subject of the transaction.
2. Petrofac will provide technical support for a period of four and a half years to support the construction of the vessel. Petrofac will not contribute to the cost of construction, commissioning or testing of the vessel. Petrofac will retain its 10% interest in the special purpose vehicle, which will own the vessel irrespective of the final cost of the vessel.
3. A small impairment and fair value adjustment is expected to be taken in the six-month period ended 30 June 2018.