EnQuest to farm out approximately £300m of the Alma/Galia development

EnQuest PLC today announces an agreement with the Kuwait Foreign Petroleum Exploration Company (‘KUFPEC’), by which EnQuest will farm out a 35% interest in EnQuest’s Alma and Galia oil field developments (‘Alma/Galia’) to KUFPEC. Under the agreement, which is subject to regulatory approvals, KUFPEC is to invest a total of approximately US$500m in cash (around £300m), comprised of up to $182m in future contributions for past costs and a development carry for EnQuest, and of KUFPEC’s direct share of the development costs.