June 28 (Reuters) - Oil Search Ltd (OSH) : ELECTED TO EXERCISE...

June 28 (Reuters) - Oil Search Ltd (OSH) :

• ELECTED TO EXERCISE ARMSTRONG / GMT OPTION FOR US$450 MILLION
• COMPANY INTENDS TO UNDERTAKE A FORMAL DIVESTMENT PROCESS FOR SALE OF PART OF ITS ALASKAN PORTFOLIO
• CO & REPSOL ENTER ARRANGEMENTS TO ALIGN INTERESTS ACROSS ALASKAN ASSETS; WILL RESULT IN CO OWNING 51% IN PIKKA UNIT & HORSESHOE BLOCK
• ALIGNMENT WILL RESULT IN A NET PAYMENT OF US$64.3 MILLION FROM REPSOL TO OIL SEARCH
• OIL SEARCH AND REPSOL HAVE ENTERED INTO ARRANGEMENTS TO ALIGN OWNERSHIP INTERESTS ACROSS THEIR SHARED ALASKAN ASSETS
• EXPECTS TO ANNOUNCE A RESOURCE UPGRADE ABOVE CURRENT 500 MILLION BARRELS (GROSS) 2C ESTIMATE FROM PIKKA NANUSHUK & ADJACENT RESOURCES
• CO AND REPSOL'S DEVELOPMENT PLAN FOR PIKKA UNIT NANUSHUK DEVELOPMENT TARGETING FIRST PRODUCTION IN 2022 THROUGH 30,000 BOPD
• EXERCISES OPTION TO BUY ARMSTRONG ENERGY & GMT EXPLORATION'S 25.5% & 37.5% STAKES, RESPECTIVELY, IN PIKKA UNIT & HORSESHOE AREA
• EXERCISES OPTION TO ACQUIRE A FURTHER 37.5% INTEREST IN HUE SHALE LEASES AND A 25.5% INTEREST IN OTHER EXPLORATION AREAS
• INTENDS TO RETAIN ABOUT 35% INTEREST IN ITS CORE ASSETS