Serica Energy sells 45% interest in Biliton PSC to Nations Petroleum

In line with its strategy to spread exploration risks and manage costs, UK-based oil, gas firm Serica Energy has signed an agreement with Nations Petroleum to farm out a 45 percent interest in the Biliton PSC of the Java Sea.

?We are extremely pleased to announce the farm-out of a 45% interest in the Biliton PSC, whilst retaining operatorship and a 45% interest for Serica,? Serica Chief Executive, Paul Ellis, said in a statement on Thursday.

Serica said Nations Petroleum will bear the majority of the costs of the two well drilling program scheduled to commence in Q2 2007, under which the Seadrill-5 drilling rig is contracted to drill the wells back-to-back.

Nations Petroleum is a subsidiary of the privately owned Canadian oil exploration and production company Nations Energy Company Ltd.

Other participant in the PSC is Mitra Energy Ltd. (Robert)