Noble Energy, Inc. announced that it received notice from the government of Ecuador regarding the termination of the Block 3 production sharing contract (PSC) with EDC Ecuador Ltd., a subsidiary of Noble Energy.
A recently enacted hydrocarbon reform bill required that all existing PSCs be renegotiated as service contracts by November 23, 2010. A service contract on Block 3 has not been negotiated. The Company is continuing to work with the government of Ecuador to resolve this matter.
Noble Energy operated Block 3 with a 100 percent working interest. The Company’s investment and reserves in Ecuador are less than 3.5 percent of Company totals.
Noble Energy is a leading independent energy company engaged in worldwide oil and gas exploration and production. The Company operates primarily in the Rocky Mountains, Mid-Continent, and deepwater Gulf of Mexico areas in the United States, with significant international operations offshore Israel and West Africa. Noble Energy is listed on the New York Stock Exchange and is traded under the ticker symbol NBL.
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Source: Noble Energy, November 29, 2010: