TransAtlantic Turkey, Norway's Onshore Petroleum Ink Farmout Deal

International oil and natural gas company TransAtlantic Petroleum said on Tuesday that its wholly-owned Turkish subsidiary has entered into a farmout agreement with Norway's Onshore Petroleum Company.

Under the agreement, the Norwegian company will finance 100% of TransAtlantic Turkey's initial exploration well, up to $3.5 million (2.6 billion euro), on its Idil license in southeastern Turkey, Transatlantic Petroleum said. TransAtlantic Turkey and Onshore Petroleum will equally share the expenses over $3.5 billion.

Under the agreement, Onshore Petroleum will acquire a 50% interest in the Idil license, which covers some 123,000 acres. TransAtlantic Turkey and local firm Selsinsan Petrol Maden T.O. San. Ve Tic. currently hold a 100% interest in the licence.

Source: SeeNews