Rex unit completes deal for 15% stake in 2 Norwegian Sea drilling licences

OILFIELD services firm Rex International on Monday said subsidiary Lime Petroleum AS has completed a farm-in deal for a 15 per cent stake in two Norwegian Sea drilling licences.

Lime Petroleum AS now holds a 15 per cent interest in each of the licences - PL937 and PL937B - which are operated by INEOS E&P Norge AS.

The farm-in has an effective date from Jan 1, 2020 - a standard practice for licence transactions in Norway. A farm-in is an arrangement for an operator to acquire a stake in a lease where oil or gas has been discovered or is produced.

In 2019, Lime Petroleum AS completed a farm-in deal for a 30 per cent stake in two Norwegian Sea drilling licences from DEA Norge.

Shares of Catalist-listed Rex were trading at 17 Singapore cents as at 9.28am on Monday, up 1.5 cents or 9.7 per cent.