December 2019

Lysaker, 17.12.2019: This morning, Mime Petroleum AS together with the operator Vår Energi AS submitted the PDO for the Balder Future project to the Norwegian Minister for Petroleum and Energy.

The Balder Future project includes refurbishment of the Jotun FPSO, new subsea production systems, 14 new wells, and has a total estimate of 19.6 Bill. NOK. Production is planned to start in the autumn of 2022 and some additional 136 Mill. BOE is expected to be produced in the period up to 2045.

Mime entered into an agreement with Vår Energi AS to become a partner in six licenses covering the Balder/Ringhorne fields on March 29th 2019. The agreement was completed on August 1st 2019 and provides Mime with a 10 percent ownership interest in the Balder/Ringhorne fields, and a 7.4 percent ownership interest in the Ringhorne East field. This is Mime’s first acquisition since its prequalification as a licensee on the NCS in June 2018.

The Balder Future project is a perfect match with Mime’s strategy and our focus on enhancing production from producing fields and development of petroleum reserves and resources within and adjacent to our producing fields. The Balder/Ringhorne licenses contain the three essential elements: ongoing production, a large development program, and further exploration opportunities.

Sverre Skogen, executive chairman of Mime, said: “We share Vår Energi’s ambitious plans to develop and maximise the Balder/Ringhorne area and we are committed to support and cooperate with the operator to ensure safe and efficient operations.”

“Realisation of the Balder Future project and PDO proves that a new and ambitious operator together with a committed partner can prolong and redevelop a field thought to be heading towards abandonment.”

“The Balder/Ringhorne assets are among the largest and highest quality fields in Norway and we believe the new partnership will more than double its recoverable reserves.”