Heritage Oil Plc announces that a wholly owned subsidiary has entered into a joint venture agreement with Bayelsa Oil Company Limited (Bayelsa Oil Company), owned by the Bayelsa State government, to establish an indigenous Nigerian oil company called Petrobay Energy Limited (Petrobay). Through Petrobay, Heritage expects to be a significant contributor to the future development of the oil and gas industry in Nigeria.
◾ Joint venture, Petrobay, combines Bayelsa Oil Company's indigenous support from state government and local communities with Heritage's strong technical track record and access to financial markets
◾ Heritage will own a 45% equity interest in Petrobay
◾ Petrobay will look to acquire production, development and exploration assets from international oil companies
◾ Offices will be established in Yenagoa, the capital of the state of Bayelsa, and employment sourced from local expertise
◾ The state of Bayelsa is in Southern Nigeria, the core of the Niger Delta, which contains many of the largest crude oil and natural gas deposits in the country
◾ Through Petrobay, Heritage will seek to gain access to additional producing fields and other licence opportunities in Nigeria both onshore and in shallow water