EnQuest completes acquisition of majority equity stake and assumes operatorship of both Crawford and Porter developments

EnQuest completes acquisition of majority equity stake and assumes
operatorship of both Crawford and Porter developments

 

30 June 2011

EnQuest PLC is pleased to confirm the completion of its farm in
agreement with Fairfield Acer Limited (‘Fairfield') for UKCS Block 9/28a
- Area B, which contains the Crawford oil field and the 9/28a -18 Porter
oil discovery. This agreement was announced on 10 May 2011. Prior to
this farm in, EnQuest already held a 19% interest in the block and with
this transaction it has acquired a further 32% interest, in return for
carrying Fairfield for certain development costs up to a maximum of
£34.85 million. The Crawford field and Porter had gross 2P reserves of
26.8 MMboe as determined at the end of 2010.

EnQuest's combined working interest has now increased to 51% and EnQuest
has become the operator. Based on the determination as at the end of
2010, EnQuest's net 2P reserves would be increased by 8.6 MMboe.
Fairfield retains a 20% interest in the block, the remaining 29%
interest is held by Valiant Exploration Limited.

Ends

Notes to editors

EnQuest is the largest UK independent producer in the UK North Sea.
EnQuest PLC trades on both the London Stock Exchange and the NASDAQ OMX
Stockholm. It is a constituent of the FTSE 250 index and OMX Nordix
index. Its assets include the Thistle, Deveron, Heather, Broom, West Don
and Don Southwest fields. It has interests in 26 production licences
covering 34 blocks or part blocks in the UKCS, of which 21 licences are
operated by EnQuest.

EnQuest believes that the UKCS represents a significant hydrocarbon
basin in a low-risk region, which continues to benefit from an extensive
installed infrastructure base and skilled labour. EnQuest believes that
its assets offer material organic growth opportunities, driven by
exploitation of current infrastructure on the UKCS and the development
of low risk near field opportunities.

Forward looking statements: This announcement may contain certain
forward-looking statements with respect to EnQuest's expectation and
plans, strategy, management's objectives, future performance,
production, costs, revenues and other trend information. These
statements and forecasts involve risk and uncertainty because they
relate to events and depend upon circumstances that may occur in the
future. There are a number of factors which could cause actual results
or developments to differ materially from those expressed or implied by
these forward looking statements and forecasts.   The statements have
been made with reference to forecast price changes, economic conditions
and the current regulatory environment. Nothing in this presentation
should be construed as a profit forecast. Past share performance cannot
be relied on as a guide to future performance.

For further information please contact:

EnQuest PLC
                                                                        
         Tel: +44 (0)20 7925 4900

Amjad Bseisu (Chief Executive)

Jonathan Swinney (Chief Financial Officer)

Michael Waring (Head of Communications & Investor
Relations)                                              

Finsbury                                                       
                                 Tel: +44 (0)20 7251 3801

Andrew Mitchell

Conor McClafferty