<article><p>UK upstream independent Premier Oil has sold all its assets in Norway to Norwegian independent Det Norske for $120mn to pay down its debt.</p><p>The non-producing assets, which are owned by Premier's Norwegian subsidiary that Det Norske is acquiring, include the Premier-operated Vette development and adjacent Mackerel and Herring discoveries, where the company holds a 50pc interest. Premier estimates that Vette and Mackerel contain around 50mn bl of contingent resources, which could become probable reserves when contingencies are removed. </p><p>Det Norske is also buying the remaining 50pc stake in the Froy field, which it operates. The field was shut down by the previous operator in 2001, and Det Norske and Premier have been looking at development concepts. </p><p>Seven exploration licences will also change hands.</p><p>"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," said Premier chief executive Tony Durrant. </p><p>The deal is subject to government approval and expected to complete this year.</p><p>Det Norske completed last week the <a href="http://direct.argusmedia.com/newsandanalysis/article/1118845">acquisition</a> of the Norwegian subsidiary of privately-held Swedish exploration firm Svenska Petroleum for $75mn. Det Norske also bought the Norwegian assets of US firm Marathon Oil last year, a deal that boosted the firm's Norwegian production to 62,800 b/d of oil equivalent (boe/d) in the third quarter from 2,300 boe/d a year earlier. "Following the recent closing of the Svenska transaction, the acquisition of Premier is another bolt-on acquisition that further underlines our firm belief in and commitment to the Norwegian Continental Shelf", said Det Norske chief executive Karl Johnny Hersvik.</p><div id="article-footer"><p><br> Send comments to <a href="mailto:feedback@argusmedia.com" target="_parent"> feedback@argusmedia.com </a></p><p><u><a href="http://www.argusmedia.com/Info/General/News" target="_TOP"> Request more information </a></u> about Argus' energy and commodity news, data and analysis services. </p><p><i> Copyright © 2015 Argus Media Ltd - <a href="http://www.argusmedia.com/" target="_TOP"> www.argusmedia.com </a> - All rights reserved. </i></p></div></article>
