Oil company Faroe to join hunt for oil in Greenland

Oil company Faroe Petroleum, the Aberdeen based oil minnow, has signalled plans to move into Greenland, one of the world’s hottest exploration frontiers.

Faroe has pre-qualified as an operator in the country, ahead of the next licensing round in 2010. Cairn Energy, Scotland’s largest oil explorer, was the smallest company to be awarded exploration rights in Greenland, with the region attracting interest from some of the world’s biggest oil companies.

Faroe chief executive Graham Stewart said the firm’s interest had been welcomed by authorities in Greenland, which recognised its experience at working with small communities. Both Stewart and non-executive director Nils Sørensen speak fluent Danish, one of the languages used in Greenland.

Faroe is likely to try to enter the area in partnership, gather data, then look to sell down its stake to a larger company.

Tags:  exploration, Faroe, Greenland, oil, oil company