New exploration license off Nigeria

Offshore staff

(Nigeria) - Statoil and Brazilian oil company Petrobras have received an exploration license for Nigerian deepwater block 315.

The two partners have each received 45% in the acreage, with Petrobras as operator. Nigerian company Ask was given the remaining 10% holding.

Block 315 lies in more than 1,500 m of water off the northern Niger delta. Several discoveries totaling 500 MMb/d have been made in the area, Statoil says.

A 10% interest has been given to local companies in each block awarded, in line with a Nigerian government policy to train up such firms for future operator assignments.

Bids were assessed on four parameters � signature bonus, the share of production available to cover costs, the share of local deliveries and a minimum drilling and seismic survey program.

Statoil and Petrobras offered a signature bonus of $180 million for block 315. This will be paid by all three partners in proportion to their holding. The partners are committed to drilling four exploration wells.

08/29/05