Hibiscus Petroleum Enters Norway

KUALA LUMPUR, April 10 (Bernama) -- Lime Petroleum Plc, which is jointly controlled by Hibiscus Petroleum Bhd, has signed a Letter of Intent (LOI) with North Energy ASA and Rex Oil and Gas Ltd to acquire a proportion of North Energy's interest in four concessions, located offshore Norway. The proposed acquisition will be funded from cash available in Lime, said Hibiscus Petroleum in a statement on Tuesday. Under the LOI, Lime is expected to sign a framework sales and purchase agreement with North Energy, which will detail the terms of the proposed acquisition by April 30. Subsequently, a special sales and purchase agreement for the interest in each concession is envisaged to be signed, it added. Lime, through a wholly-owned subsidiary, is projected to hold between 10 per cent and 20 per cent in each of the concession. "Although interest in four concessions will be added to Lime's portfolio, Hibiscus Petroleum's purchase consideration for its 35 per cent stake in Lime will not increase. "Furthermore, the deal will enhance the value of Hibiscus's stake in Lime as the latter has expanded its portfolio of assets," said Hibiscus Petroleum Managing Director and Lime Director Dr Kenneth Pereira. Hibiscus Petroleum is the first listed special purpose acquisition company in South East Asia. The company will transform into a fully-fledged main market listed oil and gas exploration and production player as soon as the company's first acquisition of 35 per cent in Lime Petroleum is concluded. -- BERNAMA