2010-05-19-2010-03-04-2010-04-06

Merged to form world's largest U.K. North Sea-focused company.

Petrofac Plc, London, (London: PFC) has merged its energy development business with the U.K. oil and gas assets of Lundin Petroleum AB, Stockholm, (Stockholm: LUPE) to create a company called EnQuest Plc, (London: ENQ) the world's largest North Sea-focused company.

Under the terms of the merger, Lundin received 55% of the outstanding shares of EnQuest, while Petrofac received the remaining 45%. Existing Petrofac shareholders will receive one EnQuest share for every Petrofac share.

EnQuest's assets include the U.K. North Sea fields Heather, Broom, Thistle and Deveron, as well as the Peik, South West Heather and Scolty discoveries from Lundin, and interests in the Don Southwest (60%) and West Don (37.7%) fields and the Elke discovery (100%) from Petrofac.

The combined assets have proved and probable reserves of 80.5 million barrels of oil and gas. EnQuest's 2009 production rate, based on information from Lundin and Petrofac, would have been approximately 13,620 barrels of oil per day.

As part of the deal, Petrofac demerged Petrofac Energy Developments Ltd., its U.K. Continental Shelf unit, while Lundin spun off its U.K. North Sea unit, Lundin North Sea BV. Lundin will continue to own and operate its remaining portfolio of international assets in Norway, France, the Netherlands, Russia, Indonesia and Tunisia. Petrofac will continue to provide facilities solutions through its engineering and construction, offshore engineering and operations and other units.