Fastnet Oil & Gas is pleased to announce formal completion of its farm-out of a 9.375% interest in the Foum Assaka Licence, off-shore Morocco, to SK Innovation, the energy and chemicals affiliate of SK Group, South Korea's third largest conglomerate. Completion had been previously subject to receipt of a Joint Ministerial Order from the Moroccan Authorities confirming the farm-out and approval for the farm-out transaction from the Korean Ministry of Trade, Industry and Energy.

Following the completion of the Transaction, SK Innovation is due to pay Fastnet accumulated back costs of US$20.4 million. Fastnet is also carried through its share of the drilling costs for the FA-1 well, which is currently ongoing, up to a gross well cost of $100m as well as either an appraisal well or, at SK Innovation's discretion, a further exploration well (also capped at USD$100m gross).

Tags: Fastnet Oil and Gas