Navitas Petroleum Signs Heads of Terms to Farm-in to the Sea Lion Project
Israel-based international E&P company Navitas Petroleum LP has signed a Heads of Terms with Premier Oil Plc and Rockhopper Exploration Plc to farm in to a 30% interest in the Sea Lion project located off the north coast of the Falkland Islands. Following the completion of the farm-in by Navitas, working interests will be aligned across the Sea Lion licences PL032, PL004b and PL004c, with Premier holding a 40% operated interest, and Rockhopper and Navitas each holding 30%. Phase 1 of the Sea Lion project aims to develop ~250 million barrels of oil using a conventional FPSO-based scheme, at an estimated total project cost of approximately US$1.8 billion. The finalization of a sale and purchase agreement between the parties is expected during Q1-2020, with completion subject to satisfaction of certain conditions including regulatory approval, expected in Q2-2020. Concurrently, Rockhopper and Premier have also agreed to certain amendments to their existing commercial arrangements.