In a statement released by Statoil on January 14, the company said the investment would increase Statoil’s indirect exposure to core assets on the Norwegian Continental Shelf (“NCS”), underpinning its "long-term interest and commitment to the future of the NCS."

"We consider this a long-term shareholding," Eldar Sætre, president and CEO of Statoil, said in the statement. "The Norwegian Continental Shelf is the backbone of Statoil’s business, and this transaction indirectly strengthens our total share of the value creation from core, high value assets on the NCS."

Among the assets the deal gives Statoil greater exposure to are the Johan Sverdrup and Edvard Grieg fields, two of the Norwegian Continental Shelf's most resource-rich fields. Lundin estimates that, when the full Johan Sverdrup field is in production, it will produce in the range of 550,000 - 650,000 barrels of oil equivalent (boe) per day, or about 25% of all Norwegian oil and gas production at peak. The Edvard Grieg field, discovered in 2007, is an oil field with estimated gross 2P reserves of 187 mn boe. 

Statoil was already the operator of the Johan Sverdrup field with a 40.0267% interest. The share acquisition now increases its interest in that field. Lundin is the operator of the Edvard Grieg field, with a 50% stake. Statoil also currently holds a 15% stake in that field. 

Lundin also has interests in Malaysia and France, mainly in oil.

Erica Mills