Leed Petroleum purchases Ship Shoal platform

Leed Petroleum has signed a purchase and sale agreement to acquire the Ship Shoal 202 A platform in the Gulf of Mexico.

Offshore staff

LONDON -- Leed Petroleum has signed a purchase and sale agreement to acquire the Ship Shoal 202 A platform in the Gulf of Mexico.

Leed intends to use the platform to access its prospects and development targets on Ship Shoal block 201 and Ship Shoal block 202. If the company drills a successful well on Ship Shoal block 197, located immediately to the north of SS 202, the platform will be used for production processing.

As consideration for the acquisition of the platform, Leed will assume an estimated abandonment liability of no more than $2 million and will receive $200,000 from the platform’s former owners.

Closing on the transaction is subject to Leed obtaining all necessary regulatory approvals from the Minerals Management Service and performing due diligence to verify that the platform will be suitable for its anticipated operations.

06/12/2009

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