News

A live audiocast presentation will be held on Thursday November 10^th 2016 at 14.00 Central European Time (CET), following the release of the financial statements for the third quarter 2016.

The third quarter financial statements and the presentation will be published on DEA website at 09.00CET on November 10^th 2016.

Thomas Rappuhn, CEO, and Dmitry Avdeev, CFO, will comment on the latest developments in DEA Deutsche Erdoel AG.

The dial in details for the “DEA Q3 Results Presentation” conference call are below. Please make use of the early dial-in opportunity (15 minutes before the start of the event) so that the event can start on time.

Germany: +49 30 232531428
France: +33 172 253098
UK: +44 203 3679216
Netherlands: +31 107 138121
US: +1 646 7129911

For further information:

Aleksander Azarnov                                                
Head of Structured Finance and Investor Relations   
T +49 40 6375 2856                                                  
M +49 162 273 2856                                                 
E [email protected]                     

Olaf Mager
Head of External Communications
T +49 40 6375 2877
M +49 162 273 2877
E [email protected]

Background information

DEA Deutsche Erdoel AG is an international independent crude oil and natural gas company with full lifecycle capabilities across exploration, development and production. DEA Deutsche Erdoel AG has proved and probable reserves of 575.0 million barrels of oil equivalents (MMboe) as at 1 January 2016.

DEAs focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,350 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria.

Not for distribution or release in or into Australia, Canada or Japan or in any other jurisdiction in which offers or sales of securities would be prohibited by applicable law

Press Release

DEA Deutsche Erdoel AG announces the successful closing of €400 million 7½% Senior Notes due 2022

DEA Deutsche Erdoel AG (the “Company”), a wholly-owned subsidiary of L1E Finance GmbH & Co KG (the “Parent”), announced today that DEA Finance SA, a wholly-owned subsidiary of the Parent, has successfully closed its offering of 7 ½% senior notes due 2022 in an aggregate principal amount of €400 million (the “Notes”).  The Notes are guaranteed on a senior basis by the Parent and on a senior subordinated basis by certain of the Parent’s subsidiaries. Interest is payable semi-annually. The Company intends to list the notes on the Official List of the Luxembourg Stock Exchange for admission to trading on the Euro MTF Market.  The gross proceeds of the offering will be used (i) to partially repay (without cancelling) certain existing debt and (ii) to pay the costs, fees and expenses related to the offering of the Notes.

Comment from Dmitry Avdeev, CFO:
“I am delighted that we can announce the issuance of DEA’s inaugural bond. This transaction is a testament to DEA’s credit strength and a solid business plan. The transaction positions the company well for future growth.”

Cautionary Statement

This press release is for information purposes only and does not constitute any offer to sell or the solicitation of an offer to buy any security in the United States or in any other jurisdiction. The Notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”) or applicable state or foreign securities laws and may not be offered or sold in the United States absent registration under federal or applicable state securities laws or an applicable exemption from such registration requirements. The Notes will be offered in the United States to qualified institutional buyers pursuant to Rule 144A under the Securities Act and outside the United States pursuant to Regulation S under the Securities Act. This press release is being issued pursuant to and in accordance with Rule 135c under the Securities Act.

This press release may include projections and other “forward-looking” statements within the meaning of applicable securities laws.  Any such projections or statements reflect the current views of the Company about further events and financial performance.  No assurances can be given that such events or performance will occur as projected and actual results may differ materially from these projections.

This communication is directed only at (i) persons who are outside the United Kingdom, (ii) persons who have professional experience in matters relating to investments falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2) of the Order (all such persons together being referred to as “relevant persons”). Any investment activity to which this communication relates will only be available to, and will only be engaged in with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.

Neither the content of the Company’s website nor any website accessible by hyperlinks on the Company’s website is incorporated in, or forms part of, this announcement. The distribution of this announcement into certain jurisdictions may be restricted by law. Persons into whose possession this announcement comes should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.

Not for distribution or release in or into Australia, Canada or Japan or in any other jurisdiction in which offers or sales of securities would be prohibited by applicable law

Press Release

DEA Deutsche Erdoel AG announces launch of €400 million Senior Notes offering

DEA Deutsche Erdoel AG (the “Company”), a wholly-owned subsidiary of L1E Finance GmbH & Co KG (the “Parent”), announced today that DEA Finance SA, a wholly-owned subsidiary of the Parent, has launched an offering of senior notes in an aggregate principal amount of €400 million (the “Notes”).  The Notes will be guaranteed on a senior basis by the Parent and on a senior subordinated basis by certain of the Parent’s subsidiaries. Interest will be payable semi-annually. The interest rate, offering price and other terms will be determined at the time of pricing of the offering, subject to market conditions. The gross proceeds of the offering will be used to (i) partially repay (without cancelling) certain existing debt and (ii) pay the costs, fees and expenses related to the offering of the Notes.

Cautionary Statement

This press release is for information purposes only and does not constitute any offer to sell or the solicitation of an offer to buy any security in the United States or in any other jurisdiction. The Notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), or applicable state or foreign securities laws and may not be offered or sold in the United States absent registration under federal or applicable state securities laws or an applicable exemption from such registration requirements. The Notes will be offered in the United States to qualified institutional buyers pursuant to Rule 144A under the Securities Act and outside the United States pursuant to Regulation S under the Securities Act. This press release is being issued pursuant to and in accordance with Rule 135c under the Securities Act.

This press release may include projections and other “forward-looking” statements within the meaning of applicable securities laws.  Any such projections or statements reflect the current views of the Company about further events and financial performance.  No assurances can be given that such events or performance will occur as projected and actual results may differ materially from these projections.

This communication is directed only at (i) persons who are outside the United Kingdom, (ii) persons who have professional experience in matters relating to investments falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or (iii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2) of the Order (all such persons together being referred to as “relevant persons”). Any investment activity to which this communication relates will only be available to, and will only be engaged in with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.

Neither the content of the Company’s website nor any website accessible by hyperlinks on the Company’s website is incorporated in, or forms part of, this announcement. The distribution of this announcement into certain jurisdictions may be restricted by law. Persons into whose possession this announcement comes should inform themselves about and observe any such restrictions. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction.

For further information on the rating please refer to Fitch.

For further information on the rating please refer to Standard & Poor's.

The Plan for Development and Operation (PDO) for the Dvalin field (previously named Zidane) has been handed over to the Ministry of Petroleum and Energy in Norway by operator DEA. Dvalin will be the company’s first operated field development project in Norway.

The Dvalin licence plans to produce a total volume of approximately 18.2 billion cubic metres of natural gas from two reservoirs. The development cost is estimated to 1.1 billion Euros (10 billion Norwegian Kroner), with planned production start in 2020. “It’s is a major step for DEA to hand-in the PDO and to transfer this project into the next phase,” says Thomas Rappuhn, CEO of DEA Deutsche Erdoel AG. “The Dvalin development will contribute significantly to DEA’s ambition to further grow our business in Norway,” Thomas Rappuhn adds.

Dvalin will be developed with a four wells subsea template, which is connected to the Heidrun platform. At Heidrun, the gas will be partly processed in a new module, before the gas is transported in a new export pipeline to Polarled, going to the Nyhamna onshore gas terminal. At Nyhamna, the gas will be processed and transported to the European market.

“Dvalin is DEA’s first development as field operator in Norway, and we are looking forward to the upcoming tasks,” says Hans-Hermann Andreae, Managing Director of DEA Norge.

“Together with our partners, we have come up with a development solution with sustainable long term economics in an environment of low market prices”, Andreae underlines. Creative work in the project team and market developments in the supplier industry have made it possible for the partnership to make the project economical sound. “Over the last few years we have managed to reduce cost by more than 20 percent. As a consequence, DEA has got the opportunity to open a new area in the Norwegian Sea for gas production and export”, says Andreae.

The Dvalin field is located in PL435, blocks 6507/7/9 and 6507/8 in the Norwegian Sea, approximately 15 kilometrers north west of Heidrun and 290 kilometres from Nyhamna in Mid-Norway.

DEA Norge is operator of licence PL435 with a 40% share. Partners are Edison (20%), Maersk (20%) and OMV (20%)¹. The development is subject to the approval from the Norwegian authorities.

Dvalin – a stag in the tree of life

When a Norwegian oil and gas field enters the development phase, it will change name according official guidelines. 

In the area of licence PL435 it is an established tradition to give the fields names from Norse mythology. The nearby field Heidrun is named after the goat that grazes on the roof of Vallhalla, a majestic, enormous hall located in Åsgard, ruled over by the god Odin. Yggdrasil is an immense ash tree that connects the nine worlds in Norse mythology.

Dvalin is one of four stags that grazes off the leaves of Yggdrasil.

Learn more about Dvalin and visit our project website http://www.dea-group.com/en/projects/dvalin

_________________________________________________________________

¹OMV Norge AS has entered into a sale and purchase agreement with Petoro AS, under which Petoro AS will be assigned a 20% working interest in the Dvalin licence (PL 435) from OMV Norge AS. The agreement is subject to approval by the General Assembly of Petoro AS and Governmental approval.

Further information

Olaf Mager                                                                 
Head of External Communications                             
T  +49 40 6375 2877                                                 
M +49 162 273 2877                                                 

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

Background information

DEA has been present in Norway via its subsidiary DEA Norge since more than 40 years. DEA Norge has a solid and promising licence portfolio with assets in all major phases. The company currently holds 69 licences in the North Sea, the Norwegian Sea as well as in the Barents Sea.

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,350 employees DEA has shares in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria.

The drilling of the re-entry of appraisal well 7220/11-3 A (Alta-3) on the eastern flank of the Alta discovery in PL609 has been successfully completed. Production and injection tests proved good reservoir quality. DEA Norge is partner in PL609, with a share of 30%.

“We are pleased with the results of this latest well that confirms the findings of our previous exploration activity in PL609,” says Hans-Hermann Andreae, Managing Director of DEA Norge. “The licence partnership with operator Lundin is doing a good job. We are on the right way to get an extensive overview of the reservoir,” Andreae adds.

The recoverable oil and gas resource estimate from the Alta discovery well is between 125 and 400 million barrels of oil equivalent (MMboe).

The original Alta-3 well, drilled in 2015, encountered a 120 metres thick hydrocarbon bearing interval. The objective of the Alta-3 re-entry was to deepen the well to further assess the quality of the Permo-Carboniferous carbonate reservoir as well as to conduct injection and production tests.

Three tests were successfully performed to investigate the production and injection characteristics. Two injection tests in the carbonate reservoir below the oil-water contact injected 800 and 2,900 cubic metres seawater per day proving good reservoir quality and injectivity in the Falk and Ørn formations, respectively. A production test in the gas zone in the Lower Triassic reservoir section produced a maximum of 595,000 standard cubic metres gas per day through a 64/64-inch choke.

Pressure data from wells 7220/11-3, -3A and -3 AR indicate good communication with the two previously drilled wells on the Alta discovery.

The re-entry well was drilled to a total depth of 2,575 metres measured depth and 2,389 metres true vertical depth (TVD) below mean sea level, in rocks of Carboniferous age. The water depth is approximately 400 metres.

The Alta discovery well 7220/11-1 was completed in October 2014, and is located in the Barents Sea South, approximately 160 kilometres from the Norwegian coastline. DEA Norge is partner in PL609, with a share of 30%. Operator is Lundin Norway with 40% interest and Idemitsu Petroleum Norge holds the remaining 30% share.

Further information

Olaf Mager  
Head of External Communications                          
T  +49 40 6375 2877                                                 
M +49 162 273 2877                                                 

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

Background information

DEA has been present in Norway via its subsidiary DEA Norge since more than 40 years. DEA Norge has a solid and promising licence portfolio with assets in all major phases. The company currently holds 69 licences in the North Sea, the Norwegian Sea as well as in the Barents Sea.

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,350 employees DEA has shares in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria.

How the principles of sustainability are reflected in the business activities of DEA Deutsche Erdoel AG is documented in the current sustainability report with a comprehensive overview of DEA’s fields of action including occupational health and safety, environmental protection, employees, corporate citizenship and management systems. DEA has reduced the environmental impacts of its individual activities to the absolute minimum by planning and implementing its projects in a consistent and environmentally sound manner. In 2015, about €85 million were invested in environmental protection measures to ensure that oil and gas are produced in a responsible, environmentally sound and safe manner.

In the 23rd licensing round, the Norwegian Ministry of Petroleum and Energy has offered DEA Norge two new licences in the Barents Sea.

DEA is awarded a 30% share in the licences PL609C and PL851 in partnership with Lundin Norway (operator) and Idemitsu Petroleum Norge.

“These two licences are close to the Alta discovery and give us the opportunity to further explore in a prospective area”, says Exploration Manager of DEA Norge, Svend Erik Pettersson.  

“DEA has long-term ambitions in Norway. The licences contribute to our goal, to further optimise and develop DEA’s portfolio on the Norwegian Continental Shelf”, says Hans-Hermann Andreae, Managing Director of DEA Norge.

In Norway, DEA currently has interests in 71 licences and a daily production of more than 70,000 barrels of oil equivalent (2015). Furthermore, DEA operates the Zidane discovery, where a PDO is planned to be submitted this year. The company also participates in other promising discoveries and developments. DEA has been present on the NCS for over 40 years.

Further information

Dr Olaf Mager                                                          
Head of External Communications                            
T +49 40 6375 2877                                                
M +49 162 273 2877

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value chain as operator or project partner. With a staff force of 1,400 employees DEA has shares in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

From today, Dmitry Avdeev is a new member of the Board of Management of DEA Deutsche Erdoel AG. DEA’s Supervisory Board had decided the expansion of the Board on 4 May. Effective as of 1 August 2016 he will assume the function of Chief Financial Officer from Dr Johannes Karlisch and be placed in charge of the Controlling, Accounting & Taxes business units, Treasury as well as Internal Audits.

Dmitry Avdeev has been responsible for the fields of Finance, Risk Management and Controlling at L1 Energy in the past. Before he joined LetterOne, Dmitry Avdeev had exercised various functions such as CFO at Rosneft and as Co-Head of Morgan Stanley's Russian investment banking operations. He completed his studies as a mathematician.

From 1 August 2016, Johannes Karlisch will become Chief Commercial Officer responsible for Commercial Development & Infrastructure, Corporate Procurement, Information Technology and General Services.

Further information

Dr Olaf Mager                                                          
Head of External Communications                            
T +49 40 6375 2877                                                
M +49 162 273 2877

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value chain as operator or project partner. With a staff force of 1,400 employees DEA has shares in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

The Danish Energy Agency has awarded DEA Deutsche Erdoel AG two licences in Denmark. The concession area of about 530 square kilometres is located in the southern Central Graben in the western part of the Danish North Sea.

The German upstream company DEA, based in Hamburg, applied for two concessions as part of the 7th licensing round in October 2014. Together with the Dutch exploration and production company Dyas and the Danish state-owned company Nordsøfonden, DEA was recognised when awarding the licences and is now an operator in Denmark for the first time with a share of 50% each in licences 8/16 and 9/16. "We’re delighted to have been awarded these two licences as a positive supplement to our portfolio and that we’re now also represented as an operator in Denmark", emphasises the Head of the Germany/Denmark Division, Uwe Balasus-Lange.

The main geological target in the concession area is Lower Cretaceous sandstones. It is supposed that they contain oil, which will be verified in the next few years through seismic investigations and exploration drilling.

In addition to DEA, 15 other E&P companies applied in the 7th licensing round in Denmark. The concession areas are in the Central Graben, where most of Denmark’s current productive fields can be found.

DEA’s upstream activities mainly focus on the core countries Norway, Denmark, Germany, Egypt and Algeria. Recently, DEA succeeded in taking an initial step in accelerating its growth strategy with the completion of an acquisition in Norway, which includes among others shares in more than 40 licences and significant production volumes from producing oil and gas fields.

DEA has participated in exploration and production licences in Denmark since 1995 and has been producing oil in the Danish North Sea as a partner since 2003. DEA has a share of around 44% in the oil field Cecilie and a 43% holding in the offshore field Nini in the North Sea.

Further information

Dr. Olaf Mager                                                          
Head of External Communications                            
T +49 40 6375 2877                                                
M +49 162 273 2877

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

Effective as of 1 February, Uwe Balasus-Lange (49) took over the function as Head of the newly created division Germany/Denmark of DEA Deutsche Erdoel AG. He was previously engaged as Head of Field Development at the Hamburg-based company.

In the course of his past career Mr Balasus-Lange acquired extensive experience in Germany and abroad as well as in-depth functional expertise in all areas of the upstream business.

Mr Balasus-Lange is familiar with the details of the scope and tasks of the new division created as part of the restructuring programme as he was engaged as production engineer in the natural gas production facility in Lower Saxony and as Head of the Bavarian gas storage facilities. As Head of the Holstein Production District, he was also in charge of crude oil production from Germany’s largest oil field, Mittelplate. From 2001 to 2004, Balasus-Lange also acquired international functional expertise by assuming managerial activities for the DEA Egypt Branch and the Suez Oil Company in Egypt.

“I look forward to the further establishment of the division and to the exciting tasks in Germany and Denmark. In 2016 we’re going to continue in our efforts to cut costs of our projects wherever possible, without reducing our high safety and environmental protection standards in the process,” said Mr Balasus-Lange.

COO Dirk Warzecha: “Our operations in Germany and Denmark represent a key element in DEA’s portfolio. I’m delighted that we’ve now managed to bundle this business in a separate organisational unit under the leadership of our long-standing manager Uwe Balasus-Lange. In this way, we will reinforce our domestic activities in the currently difficult market environment and continue to make an important contribution towards a secure energy supply.”

Further information

Derek Mösche
Press Spokesman
T  +49 40 6375 2670
M +49 162 273 2670

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

In the 2015 Awards in Predefined Areas (APA 2015), DEA Norge was awarded five new licences by the Norwegian Ministry of Petroleum and Energy, through its subsidiary DEA E&P Norge.

Four of the licences are located in the Norwegian Sea and one in the North Sea. DEA already has a strong presence in both areas. 

“These awards support DEA’s long-term commitment to further growth on the NCS and prove the authorities’ continued confidence in DEA’s ambitions and competencies,” says Hugo Sandal, Managing Director of DEA Norge. “All the awarded licences are located in DEA’s core areas on the NCS, and contribute to the further development of a strong and balanced DEA portfolio in Norway,” Hugo Sandal added.

Last December, DEA acquired E.ON’s Norwegian E&P business and thereby doubled its production in Norway to 75,000 barrels of oil equivalent per day (boe/d). With the closing of the acquisition, E.ON E&P Norge became a subsidiary of DEA Norge and was renamed DEA E&P Norge.

After the awards, DEA holds interests in a total of 77 licences in Norway, of which 16 are operated.

The following five licences were awarded to DEA E&P Norge:

Norwegian Sea: PL 839 Skarv Unit (28.1%), PL 838 (30%), PL 837 (20%), PL 832 (15%)
North Sea: PL 782 SB (20 %)

Awards in Predefined Areas is the annual licencing round for award of licences in mature areas on the Norwegian Continental Shelf. The APA system was established in 2003. This year, the Norwegian Ministry of Petroleum and Energy is offering shares in 56 new production licences to 36 companies.

Further information

Dr Olaf Mager                                                          
Head of External Communications                            
T +49 40 6375 2877                                                
M +49 162 273 2877                                                

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

As of February 1st, Dr Thomas Radwitz has been appointed General Manager of the Egyptian subsidiary of DEA Deutsche Erdoel AG. Egypt is one of the core countries for the German upstream company.

Dr Thomas Radwitz, who is well experienced in Egypt‘s and the North African upstream industry, succeeds Dr Hans-Hermann Ecke, who has been General Manager of DEA Egypt since March 2015. Dr Ecke has served the company for 30 years in different managerial positions and will now retire.

“I am looking forward to DEA’s upcoming tasks in Egypt”, said Dr Thomas Radwitz, new General Manager of DEA Egypt. “At our own operated onshore gas development project Disouq, in 2016 we continue to invest in infrastructure, like pipelines and the gas treatment plant, to add the already discovered gas fields to production. The production of the West Nile Delta project is scheduled to start next year and we are working full steam with our partner to get this important project on stream”, Radwitz adds.

Dr Thomas Radwitz, a petroleum engineer, has been responsible as Managing Director for the Suez Oil Company (SUCO), the joint venture of DEA and the Egyptian General Petroleum Corporation (EGPC) from 2006 to 2008. In the following years, he was in charge of DEA’s operations as General Manager in Libya (2008 to 2014) and in Turkmenistan (2014 to 2015) and also as Managing Director in the UK (2015). In addition to this comprehensive international experience, Radwitz spent another eight years of his career, working in various positions in the oil and gas industry in Egypt and Libya between 1992 and 2001.

DEA is active in Egypt since 1974. During the last three decades, the company has produced over 640 million barrels of crude as an operator in the Gulf of Suez. In 2013, DEA started production from the own operated Disouq gas development project in the onshore Nile Delta. Disouq has allowed the company to double its daily oil and gas production in Egypt. DEA is partner in the West Nile Delta project, which is planned to start production in 2017. West Nile Delta is expected to produce 1.2 billion cubic feet of gas per day, which constitutes approximately 25 percent of Egypt’s current gas production.

Further information

Olaf Mager                                                                
Head of External Communications                            
T +49 40 6375 2877                                                 
M +49 162 273 2877                                                

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 117 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

• Acquisition of E.ON E&P Norge AS completed
• Approval by European Commission and Norwegian authorities
• Significant increase of market share on Norwegian Continental Shelf

The acquisition of 100% of the shares of E.ON E&P Norge AS by DEA Norge AS has been completed on the 16^th of December. With the deal, DEA Deutsche Erdoel AG enhances its presence in Norway and its long-term commitment to the country’s oil and gas industry. The Norwegian Ministry of Petroleum and Energy and the Ministry of Finance, as well as the EU competition authority, have approved the transaction.

The acquisition will increase DEA’s total production in Norway to 75,000 barrels of oil equivalent per day (boe/d). The deal includes 43 licences in the North Sea, the Norwegian Sea and the Barents Sea.

Thomas Rappuhn, CEO of DEA Deutsche Erdoel AG comments on the transaction as follows: “DEA’s growth strategy has gained momentum with this acquisition. We are now looking for further growth by pursuing M&A opportunities, exploration and the continuation of field development projects.”

With the closing of the acquisition, E.ON E&P Norge has become a subsidiary of DEA Norge and renamed DEA E&P Norge. In line with the requirements of Norwegian authorities the companies are to be consolidated by the end of 2016, and DEA will now start the process of integrating the two companies.

For DEA Deutsche Erdoel AG the acquisition of E.ON E&P Norge AS is a first step to accelerate its growth strategy in core countries by adding appropriate valuable assets to the portfolio. DEA Norge now holds 72 licences, including the company’s existing working interests in producing fields such as Snorre, Gjøa, Knarr and Snøhvit. The deal adds equity interests in producing oil and gas fields, namely Skarv (28.1%), Njord (30%) and Hyme (17.5%) as well as additional developments and discoveries, including Snilehorn, Snadd and Fogelberg.

Background information

Uwe-Stephan Lagies
Head of Corporate Communications
T +49 40 6375-2511
M +49 162 2732511
[email protected]

Dr. Olaf Mager
Head of External Communications
T +49 40 6375-2877
M +49 162 2732877
[email protected]

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

DEA Deutsche Erdoel AG has completed the farm-down of its stake in the West Nile Delta (WND) project in Egypt. Its share in all WND fields is now equalized at 17.25%. The share reduction was part of the company’s portfolio optimization. DEA remains committed to Egypt’s energy production.

The WND development of five trillion cubic feet of gas resources offshore Egypt is the largest project in DEA’s current portfolio. The deal, signed in May, also included a restructuring of the project and an adaption of DEA’s shares in all WND fields. The farm-down has now been completed following the approval of the Egyptian General Petroleum Corporation (EGPC) and Egyptian Ministry of Petroleum.

The project is scheduled to start production in 2017. The WND fields are expected to produce 1.2 billion cubic feet per day, which constitutes approximately 25 percent of Egypt’s current gas production.

“For DEA, this is another step forward in streamlining our portfolio. On the one hand, we balance our exposure, on the other hand we grow by adding production and opportunities, like currently in Norway,” said Thomas Rappuhn, CEO of German-based DEA Deutsche Erdoel AG. “We remain strongly committed to Egypt as one of our core countries and continue to work hard with our partner BP to put West Nile Delta on stream in time and budget.”

DEA has been operating successfully in Egypt since 1974 as partner and operator. Since 1984, over 640 million barrels of crude have been produced by DEA as an operator in the Gulf of Suez. In addition, DEA’s Disouq gas development project in the onshore Nile Delta has recently allowed the company to double its daily oil and gas production in Egypt.

Further information

Uwe-Stephan Lagies                                              
Head of Corporate Communications                         
T +49 40 6375 2511                                                 
M +49 162 273 2511                                                

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

The sale of the UK oil and gas business of DEA Deutsche Erdoel AG to INEOS has been completed. The sale included more than 30 licences on the UK continental shelf, including operatorship of the gas fields Breagh, Clipper South, Cavendish, Windermere and Topaz as well as DEA UK’s share in nine producing gas fields in the British North Sea as a partner. DEA activities in Britain date back to 2002, when the British upstream company Highland Energy Holdings Ltd. was acquired.

Further information

Uwe-Stephan Lagies
Head of Corporate Communications
T +49 40 6375-2511
M +49 162 2732511
[email protected]

Dr. Olaf Mager
Head of External Communications
T +49 40 6375-2877
M +49 162 2732877
[email protected]

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

  › Major step forward to grow in core regions
  › DEA expands position on Norwegian Continental Shelf
  › Transaction more than doubles DEA production in Norway

DEA Deutsche Erdoel AG acquires 100% of the shares of E.ON’s Norwegian oil and gas business to create an enlarged Norwegian portfolio more than doubling its current production in Norway to 75,000 barrels of oil equivalent per day (boe/d). This acquisition also provides access to promising growth options through material development and exploration. The value of the transaction is US$1.6 billion, including US$100 million of cash on the balance sheet as at the effective date of January 1st 2015. The transaction is subject to approval by Norwegian authorities and the European Commission.

The deal comprises equity interests in 43 licences, and adds production of circa 45,000 boe/d through working interests in three producing oil and gas fields, namely Skarv (28.1%), Njord (30%) and Hyme (17.5%). The portfolio is well balanced in terms of oil and gas composition and has a full-cycle asset base. DEA will also acquire interests in additional developments and discoveries, including Snilehorn, Snadd and Fogelberg, as well as a broad portfolio of exploration licences on the Norwegian Continental Shelf.

Commenting on the transaction, Lord Browne, Chairman of the Supervisory Board of DEA Deutsche Erdoel AG, said, “This acquisition is the first step in DEA’s new growth strategy. DEA has access to substantial financial resources, and I expect the company to make further investments in the Norwegian Continental Shelf, as well as in its other core areas”.

“This acquisition in Norway is a perfect fit to our renewed business strategy,” said Thomas Rappuhn, CEO of DEA Deutsche Erdoel AG. “It will grow our reserves, significantly increase our production and add growth optionality to our portfolio. “In addition, we continue to work on further growth in Europe and North Africa by progressing development projects in our portfolio, as well as by pursuing M&A opportunities in these regions.” Rappuhn commented.

DEA has been present in Norway for over 40 years through its subsidiary DEA Norge AS. DEA Norge currently holds 31 licences, including working interests in a number of producing fields such as Snorre, Gjøa, Knarr, Snøhvit and Veslefrikk. DEA Norge is operator in several exploration licences and of the Zidane field, which is currently being considered for development. The upstream company is a partner in the promising Alta discovery.

According to Managing Director of DEA Norge Hugo Sandal, the new assets are an excellent enlargement of DEA’s operations. “The acquisition of E.ON E&P Norway, and further growth plans will open exciting perspectives and great opportunities for our current and new colleagues. We are trusted with the management of high quality production, development and exploration assets which we are looking to perform through safe and sustainable operations.”

Further information

Uwe-Stephan Lagies
Head of Corporate Communications
T +49 40 6375 2511
M +49 162 273 2511

Olaf Mager
Head of External Communications
T +49 40 6375 2877
M +49 162 273 2877

Background information

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

Visit our corporate website at www.dea-group.com

and our Norwegian website at http://www.dea-norge.com/en

DEA Deutsche Erdoel AG confirms the sale of its UK oil and gas assets to INEOS. Both companies have reached an agreement for the sale DEA’s UK activities.

The transaction comprises more than 30 licences on the UK Continental Shelf, including operatorship of the Breagh, Clipper South, Cavendish, Windermere and Topaz gas fields. In addition, DEA UK has been partner in nine producing gas fields in the British North Sea.

DEA’s UK business goes back to the year 2002, when UK gas producer Highland Energy Holdings Ltd. was acquired. In the early years, DEA concentrated on its licences in the UK sector of the Southern North Sea. Later, DEA also developed a portfolio with licenses in the Central and Northern North Sea.

The final closing of the transaction is subject to approval by the relevant UK and EU regulatory bodies.

Visit our website at www.dea-group.com

Further information

Uwe-Stephan Lagies
Head of Corporate Communications
T +49 40 6375 2511
M +49 162 273 2511                                                

Olaf Mager
Head of External Communications
T +49 40 6375 2877
M +49 162 273 2877

Background information

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,400 employees DEA has stakes in production facilities and concessions in, among others, Germany, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

INEOS is a global manufacturer of petrochemicals, speciality chemicals and oil products. Its network spans 65 sites in 16 countries throughout the world. INEOS is one of the UK’s largest manufacturing businesses. It employs 4,000 people in the UK across 7 sites. INEOS Upstream is INEOS' new oil and gas exploration and production business.

DEA Deutsche Erdoel AG announces the appointment of Andreas J. Goss, Alf Henryk Wulf, and Dr Jan Konerding as members of its supervisory board. They are replacing Dmitry Avdeev, Jonathan Muir, and John Christopher Smith, who were interim appointments.

Andreas J. Goss is Chief Executive of ThyssenKrupp Steel Europe AG. Prior to that, he was Chief Executive Officer of Siemens UK and North West Europe. Alf Henryk Wulf is CEO of ALSTOM Power AG. He was previously Chairman of the Management Board of Alcatel-Lucent Deutschland AG. Dr Jan Konerding is Executive Director of PwC’s charitable foundation and a former Member of the Executive Board of PwC AG.

Commenting on the new appointments, Lord Browne of Madingley, Chairman of the Supervisory Board of DEA Deutsche Erdoel AG said: “I am delighted to welcome Andreas, Alf and Jan to the Board. They are distinguished businessmen with a wide range of international experience. I look forward to working with them as we embark on DEA’s next phase of growth”.

Further information

Uwe-Stephan Lagies
Head of Corporate Communications
T +49 40 6375-2511
M +49 162 2732511
[email protected]

Dr. Olaf Mager
Head of External Communications
T +49 40 6375-2877
M +49 162 2732877
[email protected]

Background information

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of crude oil and natural gas based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner. With a staff force of 1,440 employees DEA has stakes in production facilities and concessions in, among others, Germany, the UK, Norway, Denmark, Egypt and Algeria. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

The L1 Group is an international investment business which was founded in 2013, and is headquartered in Luxembourg. It invests through its two main business units, L1 Energy and L1 Technology. L1 Energy’s ambition is to build a new world-class, safe and sustainably growing global oil and gas company. It will do this through acquiring and then developing a portfolio several regionally focussed platforms.

Biographies

Andreas J. Goss is Chairman of the Board of Directors of ThyssenKrupp Steel Europe AG. He began his professional career in 1994 as a Financial Analyst at Siemens Components in the USA after studying Business Administration at the University of Regensburg and Aston University in Birmingham, UK. After holding various positions within the Siemens Group, he worked as Chief Financial Officer in the Postal Automation Division in Constance from 2001, before moving in 2006 as Chief Financial Officer to Siemens plc in Frimley, GB. In 2008 Andreas J. Goss became Chief Executive Officer of Siemens UK and North West Europe. As of October 1, 2012, he started working for the ThyssenKrupp Steel Europe AG as Chief Financial Officer. Since June 1, 2014, Andreas J. Goss has been the Chairman of the Board of Directors.

Alf Henryk Wulf is CEO of ALSTOM Power AG. He is a graduate of the Technical University of Munich and holds an MBA from EM Lyon Business School. He has spent his entire career at Alcatel-Lucent, where he began working in 1991. In 2002, he served as Executive Vice President for Sales and Marketing for Europe, the Middle East, Africa and India. In 2003, he became a member of the board of Alcatel SEL AG and was made Executive Vice President Marketing and Sales responsible for Germany, Switzerland, Austria, Central and Eastern Europe and Russia. He became Deputy Chairman in 2006 and Chairman of the Management Board of Alcatel-Lucent Deutschland AG in 2009. In 2012, Alf Henryk Wulf took over as CEO of ALSTOM Power AG.

Dr Jan Konerding is Executive Director of PwC Stiftung (Charitable foundation) and Member of the Executive Board of PwC AG, COO/CFO, also responsible for International Affairs, and the Hamburg Branch. Jan Konerding read law and worked as an Attorney at Law, Tax Advisor and Certified Public Account. He held various positions within PwC International Limited, the PwC Global Network Operations Leadership Team and PwC Europe.

DEA published for the first time the company's own HSE programme. The broschure informs about the company wide activities in the areas of occupational safety, health and environmental protection.

The release of the programme documents the significance of occupational health and safety as well as the environmental protection within DEA Deutsche Erdoel AG:

HSE Programme 2015 (PDF | 6.45 MB)

DEA’s approach towards a performance benchmark of environmental indicators and the introduction of new procedures in accordance with the latest EU Offshore Safety Directive are just two of various HSE activities.

Environmental Indicators

DEA supplies its environmental data to the IOGP annual survey. The purpose of this survey is to benchmark industry emissions and energy consumption per unit of production. Members of IOGP (International Association of Oil & Gas Producers) submit data for their worldwide operations. Pursuant to this, DEA is one of the better performers.

Implementation EU Offshore Safety Directive

The European Union developed and published a new Offshore Safety Directive in 2013. This Directive establishes minimum requirements for preventing major accidents in offshore oil and gas operations as well as limiting the consequences of any accidents that do occur despite the required safety provisions. The Directive will be transposed into national law by mid-2015.

The intended outcomes of the Directive are to:

• Reduce as far as possible the occurrence of major accidents and limit their possible consequences, on the environment and coastal economies.
• Establish minimum conditions for safe offshore exploration and exploitation of oil and gas.
• Limit possible disruptions to Union indigenous energy production.
• Improve the response mechanisms in case of an accident.

The Directive requires existing installations to comply with the relevant national legislation until 2018. All new or planned operations must meet the requirements of the new Directive by July 2016. DEA acted proactively and set up a project to be able to implement the requirements of this Directive before the required timeframe.

As a result, all the actions in the preparation phase have been completed as planned and the implementation of the EU Offshore Directive‘s requirements, for example, a risk assessment for cases of damage is ongoing for the affected facilities.

Drilling of delineation well 7220/11-2 and side track 7220/11-2 A on the Alta discovery in production license (PL) 609 in the Barents Sea has been successfully completed. Drilling location is approximately 6.5 km south west of the Alta discovery well, and some 160 km from the Norwegian coastline.

“The discovery made in the first Alta well last year is promising,” says Hugo Sandal, Managing Director of DEA Norge. “With the drilling of this delineation well and side track, as well as the upcoming drilling of a fourth well, we will have a much clearer view of the reservoir potential,” Sandal adds.

The purpose of well 7220/11-2 was to confirm the reservoir model and to prove the presence of hydrocarbon columns and fluid contacts similar to those established in the Alta discovery well. The preliminary evaluation of the recoverable oil and gas resource range from the Alta discovery well is estimated at 125 to 400 million barrels of oil equivalent (MMboe).

The delineation well encountered a 50 meter gas column in reservoir rocks of varying quality. The oil zone was found in rocks without reservoir qualities, and this is why a side track was drilled, about 330 meters to the west. The side track well 7720/11-2 A encountered movable oil in rocks of moderate reservoir quality. Pressure data and fluid properties indicate communication between the delineation well, the side track and the discovery well.

Extensive data acquisition and sampling was carried out in both wells, including conventional coring and fluid sampling. The results from these two wells are important with regards to the further work of mapping the top reservoir level and reservoir quality along the western flank of the Alta discovery. The resource estimate will be reevaluated after the next delineation well that will be drilled shortly.

Well 7220/11-2 and side track 7220/11-2 A are the second and third wells drilled in PL609. They were drilled to a total depth of 2,020 and 2,041 meters below sea level, respectively, in a water depth of 379 meters, using the drilling rig Island Innovator. They will now be permanently plugged and abandoned.

DEA Norge is partner in PL609, with a share of 30%. Operator is Lundin Norway with 40% interest and Idemitsu Petroleum Norge holds the remaining 30% share.

Further information

Olaf Mager                        
Head of External Communications                
T +49 40 6375 2877                     
M +49 162 273 2877

Frank Meyer
Manager External Communications
T +49 40 6375 2759
M +49 162 273 2559

Background information

DEA Norge AS has a license portfolio of 31 licenses on the Norwegian Continental Shelf. On five of these, the company is operator. DEA Norge has 92 employees at its offices in Oslo, and has been present in Norway for over 40 years.

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of natural gas and crude oil based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner.

With a staff force of 1,440 employees DEA has stakes in production facilities and concessions in Germany, the UK, Norway, Denmark, Egypt and Algeria and currently holds exploration concessions in Ireland, Libya, Poland, Suriname, Trinidad & Tobago and Turkmenistan. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

DEA Deutsche Erdoel AG has equalized its working interest and farmed down its stake in the West Nile Delta (WND) project in Egypt to its Joint Venture partner and operator BP in order to better balance its portfolio. The deal includes the sale of a portion of DEA’s stake in the ongoing Phase 1 development of five trillion cubic feet of gas resources. With the remaining interest of 17.25% in both concessions, WND will remain the largest project in DEA’s portfolio. The closing of this agreement is subject to approval of the Egyptian General Petroleum Corporation (EGPC).

The 12 billion USD West Nile Delta project, which is planned to start production in 2017, is expected to produce 1.2 billion cubic feet per day, which constitutes approximately 25 percent of Egypt’s current gas production.

Thomas Rappuhn, CEO of German-based DEA, commented on the decision: “We are one of the leading foreign investors in Egypt and have been committed to the country for more than 40 years. WND is a key part of our portfolio and a strategic project for Egypt, which we are committed to delivering with our partner BP. Recognising the world scale of the development, divestment is in line with our strategy to manage risk through greater portfolio diversification.” 

The farm down was also used by DEA to work closely with partner BP to restructure the partnerships agreements to maximize the speed of decision making. By simplifying the DEA holdings to 17.25% across the two concessions North Alexandria and West Mediterranean Deepwater, the efficiency of field cost management and allocation to different fields were improved.

The timing of the farm down coincides with the ramping up of the capital intensive phase of the WND project development. Very recently, a major project milestone has been achieved, when the development drilling campaign started with the spudding of the first development well in the Taurus / Libra field. This is the first of a total of 21 planned development wells in the Taurus, Libra, Giza, Fayoum and Raven fields.

The gas to be produced from these fields will be fed into the country’s national gas grid. The WND project concept maximises the utilisation of existing infrastructure. The Taurus and Libra fields will be developed via a subsea tie-in to the existing Burullus facilities, operated by the Burullus Joint Venture.  

“We are very proud to be a partner in this project, which will be a very important source of energy for Egypt over many years to come. West Nile Delta remains a cornerstone project in DEA’s portfolio. With our remaining interest of 17.25%, we continue to be one of the largest investors in Egypt’s energy future,” said Christoph Schlichter, Senior Vice President Production North Africa of DEA Deutsche Erdoel AG.   

DEA has been operating successfully in Egypt since 1974 as partner and operator. Since 1984, over 640 million barrels of crude have been produced by DEA as an operator in the Gulf of Suez. In addition, DEA’s Disouq gas development project in the Egyptian onshore Nile Delta has recently allowed the company to double its daily oil and gas production in Egypt.

Further information

Uwe-Stephan Lagies
Head of Corporate Communications
T +49 40 6375-2511
M +49 162 2732511
[email protected]

Frank Meyer
Manager External Communications
T +49 40 6375-2759
M +49 162 2732559
[email protected]

Background information

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of natural gas and crude oil based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner. DEA with a staff force of 1,440 employees has stakes in production facilities and concessions in Germany, the UK, Norway, Denmark, Egypt and Algeria and currently holds exploration concessions in Ireland, Libya, Poland, Suriname, Trinidad & Tobago and Turkmenistan. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

The Knarr oil and gas field went into production 16 March. The discovery was made in 2008, two years after the license was awarded. The field has gross recoverable reserves of around 80 million barrels of oil equivalents. DEA Norge, the Norwegian subsidiary of DEA Deutsche Erdoel AG, is partner in the license.

“The Norwegian Continental Shelf is of high strategic importance for DEA and we are very delighted that we achieved first production from Knarr,” says Dirk Warzecha, Chief Operating Officer of DEA. “Combined with our other interests in producing assets in Norway, like Snorre, Snøhvit and Gjøa, Knarr will provide an important contribution to reach our growth targets,” Warzecha added.

“This is an important project that we are very pleased to see go on stream. The production from Knarr will soon amount to more than 20% of DEA Norge’s total oil production,” says Hugo Sandal, Managing Director of DEA Norge. “We are pleased to see project delivery with a much better track record than many other recent North Sea projects,” says Sandal.

Knarr has been developed with a subsea production template and an injection template that are tied back to an FPSO (Floating Production, Storage and Offloading) ship, Petrojarl Knarr. The FPSO is on a Lease and Operation contract from Teekay Knarr AS. “It is the first time that DEA Norge participates in a FPSO operation and we will gain a lot of experiences in this field development technology,” Sandal explained. FPSO Petrojarl Knarr is a self-sufficient system and has a capacity of 63,000 barrels of oil per day. Its turret allows the vessel to freely rotate 360 degrees and ensures it is always facing the rough weather present in the North Sea.

DEA Norge’s share of the reserves amounts to 8 million barrels of oil equivalents. The oil will be loaded to oil tankers from the FPSO, and the gas will be exported in a new pipeline connected to the FLAGS pipeline, and then on to SEGAL in St Fergus in the United Kingdom.

The Knarr field (PL373 S) is located in blocks 34/2, 3, 5 and 6, off the west coast of Norway in the northern part of the North Sea. Partners in the license are BG Norge AS (operator) with a 45% share, Idemitsu Petroleum Norge AS with 25%, Wintershall Norge with 20%, and DEA Norge with a 10% share.

Further information

Dr. Olaf Mager
Head of External Communications
T +49 40 6375 2877
M +49 162 2732877
[email protected]

Frank Meyer
Manager External Communications
T +49 40 6375-2759
M +49 162 2732559
[email protected]

Background information

DEA Deutsche Erdoel AG is an international operator in the field of exploration and production of natural gas and crude oil based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner.

DEA with a staff force of 1,440 employees has stakes in production facilities and concessions in Germany, the UK, Norway, Denmark, Egypt and Algeria and currently holds exploration concessions in Ireland, Libya, Poland, Suriname, Trinidad & Tobago and Turkmenistan. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

DEA Deutsche Erdoel AG is pleased to contribute significantly to Egypt’s security of energy supply. The final agreements to develop 5 trillion cubic feet of gas resources had been signed. The West Nile Delta development is considered as of prime importance for Egypt’s energy sector and is currently the largest project in DEA’s portfolio.

The Egyptian Minister of Petroleum, the Egyptian General Petroleum Corporation, the Egyptian Natural Gas Holding Company, operator BP and partner DEA signed the final agreements last Thursday. The total investment of the partnership will be around 12 billion US Dollar to develop 5 trillion cubic feet of gas resources and 55 million barrels of condensates. “We are pleased to have contributed to the successful conclusion of these contracts securing such a large scale supply that will help to meet the increasing energy demand in Egypt”, said Thomas Rappuhn, Chief Executive Officer of DEA. “This project underlines once more DEA’s long-term commitment to the country, where we are active for more than 40 years now”.

Production from West Nile Delta (WND) is expected to reach up to 1.2 billion cubic feet per day, what is about 25 per cent of Egypt’s current gas production. The produced gas will be fed into the country’s national gas grid. Production is expected to start in 2017. Gas will be produced from two offshore concession blocks, North Alexandria and West Mediterranean Deepwater.

The WND project concept maximises the utilisation of existing infrastructure. The fields Taurus and Libra will be developed subsea and tied-in offshore to the existing Burullus facilities, operated by the Burullus Joint Venture.  

The fields Giza, Fayoum and Raven will be tied-back to the shore over long distance and deepwater, where the existing Rosetta plant will be modified for Giza and Fayoum and integrated with a new adjacent onshore plant for Raven.

DEA has a 40% working interest in North Alexandria and a 20% working interest in West Mediterranean Deepwater. Operator and owner of the remaining share is BP.

DEA and its predecessor organisation have been operating successfully in Egypt since 1974 and, as operator, can look back on three decades of oil production in the Gulf of Suez. Since 1984, Dea has produced over 640 million barrels of crude as operator in the Gulf of Suez. In addition, DEA’s Disouq gas development project in the Egyptian onshore Nile Delta has recently made remarkable progress and doubled the company’s overall production in Egypt.

Further information

Dr. Olaf Mager
Head of External Communications
T +49 40 6375 2877
M +49 162 2732877
[email protected]

Frank Meyer
Manager External Communications
T +49 40 6375-2759
M +49 162 2732559
[email protected]

Background information

DEA Deutsche Erdoel AG (change in company name has been applied for registration) is an international operator in the field of exploration and production of natural gas and crude oil based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner.

DEA with a staff force of 1,440 employees has stakes in production facilities and concessions in Germany, the UK, Norway, Denmark, Egypt and Algeria and currently holds exploration concessions in Ireland, Libya, Poland, Suriname, Trinidad & Tobago and Turkmenistan. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

After the acquisition by LetterOne, the Hamburg based upstream company RWE Dea has a new owner, a new supervisory board and gets a new name. LetterOne is a privately owned Luxembourg-based global investment vehicle focused on utilizing its financial resources, management and investment expertise.

At the first general meeting of shareholders a new supervisory board was appointed. Chairman of the DEA Supervisory Board is Lord John Browne, who recently has been appointed Executive Chairman of LetterOne Energy and who was Chief Executive of the BP plc, the British energy group from 1995 until 2007.

“In DEA, we have acquired a company with long history of technical and managerial excellence, a track record of imaginative thinking, an international outlook, and great potential,“ said Lord Browne, the new Chairman of the DEA Supervisory Board. “DEA fits perfectly into our investment strategy.”

Members of the supervisory board are among others Mikhail Fridman who is Chairman of the Board of Directors of LetterOne Holdings S.A. and German Khan, one of the original founders of LetterOne Holdings S.A.

CEO of DEA is Thomas Rappuhn, who has been responsible for the running of the company since 2010. As the Chief Operating Officer, Dirk Warzecha is responsible for the operative activities. Chief Financial Officer is Dr Johannes Karlisch.

The general meeting of shareholders further decided to change the company name RWE Dea AG back to DEA Deutsche Erdoel AG. After its foundation as Deutsche Tiefbohr-Actiengesellschaft in 1899 the company operated already from 1911 to 1970 under the name of Deutsche Erdoel AG. Even after the latest change of owners DEA remains a German company. The names of the international subsidiaries will be adapted accordingly.

The first business priorities like the review of the corporate strategy are currently in preparation. Despite the notable drop in the prices of crude oil and natural gas the company plans to lay the foundations for further growth. Worldwide, oil and gas will remain the most important energy sources in the next decades. According to independent forecasts the global energy requirement will increase until 2035 by approx. 40%.

"The realignment of DEA from a group subsidiary to an independent oil and gas company offers many opportunities," said Thomas Rappuhn, DEA’s Chief Executive Officer. DEA, with 1,440 employees, is currently active in 17 countries and holds around 160 exploration and production licences as an operator and as a partner.

An important growth incentive for DEA will be investments in exploration and production. In the light of the oil price drop, it is now essential to successfully position the company in the oil and gas industry, an industry which is characterized by structural changes. "We are well prepared for the future," underlined Rappuhn. "Our exploration successes in recent years, the increases in our oil and gas production and secured reserves form the basis for DEA's future success."

Further particulars
Uwe-Stephan Lagies
Head of Corporate Communications
T +49 40 6375 2511
M +49 162 273 2511

Olaf Mager
Head of External Communications
T +49 40 6375 2877
M +49 162 273 2877

Background information
DEA Deutsche Erdoel AG (change in company name has been applied for registration) is an international operator in the field of exploration and production of natural gas and crude oil based in Hamburg. Its focus is on safe, sustainable and environmental conscious exploitation of oil and gas. DEA has 116 years of experience working along the whole upstream value-chain as operator or project partner.

DEA with a staff force of 1,440 employees has stakes in production facilities and concessions in Germany, the UK, Norway, Denmark, Egypt and Algeria and currently holds exploration concessions in Ireland, Libya, Poland, Suriname, Trinidad & Tobago and Turkmenistan. Moreover, in Germany, DEA also operates large subsurface storage facilities for natural gas.

LetterOne is a private investment fund headquartered in Luxembourg; it was established in 2013. The fund deploys its financial resources as well as its management and investment expertise to make value-driven investments in the energy and telecommunications sector through its subsidiaries L1 Energy und LetterOne Telecom. Its assets originate from the successful investment and operational track record of its founding shareholders including the sale of the integrated oil and gas company TNK-BP.