Together with Dansk Undergrunds Consortium (DUC), the Government has concluded an agreement on modernisation of the Exclusive Rights. The agreement implies that a number of special rights in the original agreement from 1962 with subsequent changes will be normalised.

Authorised by the Government, the Danish Energy Agency has investigated the possibilities of updating the Exclusive Rights so that they will to the widest possible extent become subject to the same rights and obligations as other licences for exploration and extraction of hydrocarbons in the Danish part of the North Sea. The new agreement was concluded based on this investigation.

The agreement implies that the following will be normalised:

  • Future changes in the DUC parties’ Joint Operating Agreement must be approved by the Danish Energy Agency.
  • Transfer of Exclusive Rights between companies within the licence holder’s group must be approved by the Danish Energy Agency in line with other licences.
  • The rules of the Subsoil Act on avoidance of unnecessary flaring apply equally to the Exclusive Rights as well as other companies in the North Sea, in line with the previous administration.

contacts

Søren Hornbæk Svendsen

Partner

Christian Tullberg

Partner