Noble Energy Provides Update On Planned Falkland Islands Drilling Program

HOUSTON, Oct. 1, 2014 /PRNewswire/ -- Noble Energy, Inc. (NYSE: NBL) today confirmed plans to resume exploration drilling in the Falkland Islands in 2015 following the acquisition and evaluation of an extensive 3D seismic program over portions of the Company's 10 million acre position. The Company's initial operated prospect has been named Humpback and is located in the Fitzroy sub-basin of the Southern Area License.

The Humpback prospect is one of multiple stacked fan prospects clustered together in the sub-basin. This group of prospects combined has an estimated gross unrisked resource potential of approximately one billion barrels of oil equivalent. The Company anticipates drilling operations at Humpback to begin in mid-2015, dependent on rig arrival. Noble Energy is currently finalizing prospect locations for a second exploration well, planned for later in 2015 following results at Humpback. Noble Energy operates its licenses offshore the Falkland Islands with a 35 percent working interest.

Mike Putnam, Noble Energy's Vice President of Exploration, said, "We are excited about our upcoming exploration program in the Falkland Islands where we will be testing a basin with multibillion barrel potential. Our recent 3D seismic acquisition has confirmed our initial thoughts that the basin contains prospects of material size with ample follow on opportunities. The Falklands provides an opportunity to create another core area for Noble Energy through organic exploration success."

In addition, the Scotia well, which was drilled in 2012 utilizing 2D seismic interpretation, has now been deemed non-commercial following evaluation of the 3D seismic data and full integration of well results into the Company's geologic models. 

Noble Energy has updated its guidance for third quarter 2014 exploration expense to between $230 and $240 million, including approximately $75 million related to the Scotia well decision. Due to the increased exploration expense, the Company expects its third quarter 2014 adjusted effective tax rate to be between 35 and 38 percent, with most of the tax provision representing current taxes.

Noble Energy is a leading independent energy company engaged in worldwide oil and natural gas exploration and production.  The Company has core operations onshore in the U.S., primarily in the DJ Basin and Marcellus Shale, in the deepwater Gulf of Mexico, offshore Eastern Mediterranean, and offshore West Africa.  Noble Energy is listed on the New York Stock Exchange and is traded under the ticker symbol NBL.  Further information is available at www.nobleenergyinc.com.

This news release contains certain "forward-looking statements" within the meaning of federal securities law.  Words such as "anticipates," "believes," "expects," "intends,"  "will," "should," "may," and similar expressions may be used to identify forward-looking statements. Forward-looking statements are not statements of historical fact and reflect Noble Energy' s current views about future events. They include estimates of oil and natural gas reserves and resources, estimates of future production, assumptions regarding future oil and natural gas pricing, planned drilling activity, future results of operations, projected cash flow and liquidity, business strategy and other plans and objectives for future operations. No assurances can be given that the forward-looking statements contained in this news release will occur as projected, and actual results may differ materially from those projected. Forward-looking statements are based on current expectations, estimates and assumptions that involve a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks include, without limitation, the volatility in commodity prices for crude oil and natural gas, the presence or recoverability of estimated reserves, the ability to replace reserves, environmental risks, drilling and operating risks, exploration and development risks, competition, government regulation or other actions, the ability of management to execute its plans to meet its goals and other risks inherent in Noble Energy's business that are discussed in its most recent annual report on Form 10-K and in other reports on file with the Securities and Exchange Commission. These reports are also available from Noble Energy's offices or website, http://www.nobleenergyinc.com. Forward-looking statements are based on the estimates and opinions of management at the time the statements are made. Noble Energy does not assume any obligation to update forward-looking statements should circumstances or management's estimates or opinions change.

The Securities and Exchange Commission requires oil and gas companies, in their filings with the SEC, to disclose proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. The SEC permits the optional disclosure of probable and possible reserves, however, we have not disclosed the Company's probable and possible reserves in our filings with the SEC. We use certain terms in this news release, such as "estimated gross unrisked resource potential," which are by their nature more speculative than estimates of proved, probable and possible reserves and accordingly are subject to substantially greater risk of being actually realized. The SEC guidelines strictly prohibit us from including these estimates in filings with the SEC. Investors are urged to consider closely the disclosures and risk factors in our most recent annual report on Form 10-K and in other reports on file with the SEC, available from Noble Energy's offices or website, http://www.nobleenergyinc.com. 

SOURCE Noble Energy