Premier has agreed to sell Premier Oil Norge AS which comprises all its Norwegian assets, to Det norske oljeselskap ASA for a cash consideration of $120 million. The proceeds will be used to pay down the Company's debt and represents another step in Premier's previously stated programme of portfolio management. The transaction is subject to the receipt of government approval and is expected to complete by year-end.
Tony Durrant, Chief Executive, commented,'We are pleased to have reached agreement to sell our Norwegian business to Det norske, one of our long term partners in Norway. Our team in Norway has done an excellent job in bringing the Vette project close to a sanction decision in a low oil price environment. The transaction will realise immediate value from the project as part of our strategy of active management of our portfolio.'