The Falkland Islands Government notes the announcement by Premier Oil of their revised proposal for commercial oil production in the Falkland Islands, which it is considered represents a realistic solution to progress development in the current international oil price environment.

FIG Director of Mineral Resources, Stephen Luxton, commented: "FIG and its advisers has been working closely with Premier Oil to take forward development of the Sea Lion field and look forward to the existing productive working relationship continuing through project sanction to first oil production."

FIG welcomes the participation and investment of international oil companies in the opportunities for oil and gas exploration and development in Falkland Islands waters.

Mobilisation for the forthcoming exploration programme commencing in early 2015 is already underway, and FIG has received the first submissions from operators seeking the required regulatory approvals to commence drilling. FIG continues to be committed to regulating offshore oil and gas exploration and production to North Sea standards for safety and environmental protection.