Nu-Oil and Gas' joint-venture partners up with Siemens

Under the terms of the collaboration agreement, German electronics giant Siemens becomes the second company, following Marnavi Offshore, to join MFDevCo's gas to wire initiative, which forms a part of the subsidiary's overall strategy to maximise the recovery and value of resources within fields currently considered stranded or marginal.

Siemens, will provide information and support to MFDevCo to secure identified gas to wire projects in return for an exclusive first option to provide certain equipment and services to projects on terms acceptable to both parties.

Alison Pegram, joint managing director of Nu-Oil and managing director of MFDevCo, said: "We are very pleased to be working with Siemens in our latest initiative to maximise the economic recovery of resources currently considered stranded. I am excited about the opportunities that gas to wire presents and encouraged that a company like Siemens shares our belief in both the potential and our plans."

A statement from Nu-Oil said the collaboration's initial focus will be on UK projects but Siemens is keen to investigate other projects that MFDevCo is pursuing worldwide, with both parties viewing the two-year initial term of the agreement as the basis for a long-term working relationship.

Rob Barnes, head of Siemens Oil and Gas ERA region, said: "We are delighted to support the MFDevCo team which has a real insight into the viability of the marginal fields in the UK. By applying the right technologies to the efficient development of these fields we believe that the untapped potential of these assets will be realised."

NU-Oil and Gas' shares were up 5.65% at 0.66p at 1030 GMT.