OilVoice - Agora Oil & Gas Announces Funding

Agora Oil & Gas Announces Funding

Monday, November 30, 2009

Agora Oil & Gas AS today announces an agreement with RIT Capital Partners plc and Lord Rothschild’s family interests to fund a programme of exploration and appraisal projects in Norway and the UK. Under the terms of this agreement the investors will invest up to $200 million over the next five years in exploration and appraisal drilling opportunities in the two countries.

Dr Andrew Armour, Chairman of Agora, said:
“today’s agreement with RIT and Lord Rothschild’s family interests allows Agora to begin the implementation of its long term business plan to participate in exploration opportunities in the Norwegian and UK North Sea. We strongly believe in the remaining exploration potential of the North Sea which, for a company such as ours, offers great opportunities for profitable growth.”

Lord Rothschild said:
“I am delighted to announce our investment in Agora and its highly experienced oil and gas exploration team. I believe that current market conditions in combination with this team’s impressive track-record and experience in oil and gas exploration in the North Sea provides a unique opportunity to build a substantial business.”

Graeme Sword, the former head of oil, gas and power at 3i, will join the Agora board as a non executive director.

Graeme Sword said:
"having supported Andrew and this team previously it is very exciting to be working with them again. I believe that Agora’s timing, its market opportunity and its business model allied with the team's track record make it a very exciting company to be involved with."

First Securities has acted as financial advisor to Agora Oil & Gas AS in this transaction.