Falkland Oil & Gas (FOGL) has confirmed that Edison International SpA - a company controlled by French utility giant EDF - is its farm-out partner for the upcoming drilling programme in the South Atlantic.
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Edison will take a 12.5 per cent stake in the six prospects within FOGL's southern licences, together with a separate 25 per cent interest in five prospects located in the northern licences. In return, Edison will pay around $50m (£32m) as its share of historical expenditures, in addition to a cash payment of $40m - of which half will be made on completion of the farm-out, with the remaining $20m due next year.
