Asset swap between Wintershall and Statoil completedOil and gas production in Norway rises from around 3,000 barrels to almost 40,000 barrels of oil equivalent (boe) per day / Brage field: First platform operatorship by Wintershall in Norway planned as of October 1, 2013
Stavanger, Norway – July 31, 2013 – Wintershall is increasing its production in Norway with today's financial closing of the asset swap with Statoil ASA. With the transfer of shares in the fields Brage, Vega and Gjøa (Brage: 32.7%, Vega: 30% and Gjøa: 15%), Wintershall raises its production in Norway from approximately 3,000 boe to almost 40,000 boe per day. Effective date of the transaction is January 1, 2013. In addition, with Brage, Wintershall shall take over the operatorship of a major production platform on the Norwegian Continental Shelf for the first time. The transfer of the operatorship from Statoil to Wintershall is planned for October 1, 2013.
"Through the cooperation with the Norwegian company Statoil we are progressing our strategy of growing with our activities at the source," said Rainer Seele, CEO of Wintershall.
In return, Statoil receives a 15% share in the development project Edvard Grieg from Wintershall and a financial compensation of $1.35 billion. The compensation payment is being offset by the earnings of the share in production from the fields Brage, Vega and Gjøa since January 1, 2013. An additional payment of up to $100 million will be paid by Wintershall contingent on the successful future development of the Vega field.
"With Brage we will launch a Wintershall-operated production expansion in Norway. That is an important step for us and strengthens our role as a responsible partner for oil and gas in Norway," said Bernd Schrimpf, Managing Director of Wintershall Norge.
Adding value through strategic partnership
The two companies also agreed to conduct joint research activities to increase oil recovery (EOR – Enhanced Oil Recovery) as part of the transaction and to examine the offshore application of the innovative technology "Schizophyllan" developed by Wintershall and BASF. Wintershall and Statoil also wish to work together in the area of research into unconventional hydrocarbon deposits in Germany and in other regions.
1The transfer of the operatorship, planned for October 1, 2013, is subject to the approval of the relevant authorities and partners.
BASF is the world's leading chemical company: The Chemical Company. Its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas. We combine economic success with environmental protection and social responsibility. Through science and innovation, we enable our customers in nearly every industry to meet the current and future needs of society. Our products and solutions contribute to conserving resources, ensuring nutrition and improving quality of life. We have summed up this contribution in our corporate purpose: We create chemistry for a sustainable future. BASF had sales of €72.1 billion in 2012 and more than 110,000 employees as of the end of the year. BASF shares are traded on the stock exchanges in Frankfurt (BAS), London (BFA) and Zurich (AN). Further information on BASF is available on the Internet at www.basf.com.
Wintershall Holding GmbH, based in Kassel, Germany, is a wholly-owned subsidiary of BASF in Ludwigshafen. The company has been active in the exploration and production of crude oil and natural gas for over 80 years. Wintershall focuses on selected core regions, where the company has built up a high level of regional and technological expertise. These are Europe, North Africa, South America, as well as Russia and the Caspian Sea region. In addition, these operations are complemented by the company's growing exploration activities in the Arabian Gulf. Today, the company employs more than 2,500 staff worldwide from 40 nations and is now Germany's largest crude oil and natural gas producer. With the natural gas trading and transport subsidiaries it operates together with Russia's Gazprom, the BASF subsidiary is also an important gas supplier on the German and European market.