The consideration is less than DKK7 million ($1.07 million) in cash and a deferred consideration in the form of a share of the sale proceeds from production at Orlando, a planned subsea tieback to the Canadian Natural-operated Ninian complex.
The sale and purchase agreement remains contingent on Bridge Petroleum acquiring Orlando’s operator, Iona UK. Bridge hopes to bring the field onstream in 2017.
Atlantic CEO Ben Arabo said: “We don’t expect any further write down on Orlando. If the field performs as expected and the oil price recovers, there can be significant upside to Atlantic Petroleum from the Orlando sales proceeds.”
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