Parkmead Acquires Stake in Six Fields in the Netherlands at €7.5Million Cost

British independent Parkmead Group has announced that it has taken six Dutch onshore fields as part of an agreement with Dyas BV at a cost of €7.5 million.

Under the agreement, Parkmead will take a stake in six fields, including four gas producing fields and two oil fields. The company will take a 15 per cent stake in the Andel V Production Licence, which includes the Aalburg and Brakel gas fields and the Ottoland oil field development, a 15 per cent in the Drenthe III and IV Production Licences, which include the Geesbrug and Grolloo gas fields, and a 15 per cent stake in the Papekop Production Licence, which includes the Papekop oil field development.

Parkmead will initially pay a €4.5million cash consideration with an additional €3 million to be aid contingent on first oil sales from the Papekop oil field. The combined assets were already producing 2,000 barrels of oil equivalent per day, with 300 barrels of oil equivalent per day of that now Parkmead's.

Parkmead's executive chairman Tom Cross will put up a substantial portion of the cost by contributing 40.5 per cent of the cash. In return, he will gain access to 28.91 per cent of the shares of Parkmead.

"My commitment to Parkmead is highlighted by my intention to participate in the placing, which is in addition to the loan that I have already given to the company and reflects my belief in the future opportunities that exist for Parkmead," he said.

He welcomed the acquisition, which is in addition to two more already made in the past few months.

"Parkmead is making excellent progress," he said. "This is our third acquisition in the last four months. In addition, we expect to start drilling our first well in the North Sea, at Platypus, this month and we are also far advanced with a number of applications for the ongoing UKCS 27th Licensing Round."