News

December 22, 2008

Northern Petroleum Farm-Out Agreements Drive Investor Expectations

Northern Petroleum appears to be something of a rare thing these days, as one of few companies enjoying a share price surge late in the year. Shares are roughly half what they were in the summer, but on the up nonetheless since early December.

The pre-Christmas dash dates back to the company’s farm-out announcements earlier in the month, which further secures the group’s position as it moves to progress its substantial and mainly European-focused upstream portfolio.
 
One deal sees Shell diving into the company’s Sicily Channel blocks off Italy. The agreement lands Shell’s Italian unit with a 70 per cent stake in three of the blocks (GR20-NP, 21 and 22) and 55 per cent in the remainder (GR17-NP, 18 and 19).
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