Longboat Energy PLC on Tuesday said it will form a joint-venture with Japan Petroleum Exploration Co Ltd following a ‘significant investment’ from the Tokyo-based company.

Longboat shares more than doubled to 21.38 pence each in London on Monday morning. Japex shares closed up 0.8% at JP¥4,540.00 in Tokyo.

The North Sea-focused exploration and production company said Japex invested $50 million into its Norwegian subsidiary, Longboat Energy Norge, for a 50% stake in it.

The joint-venture will be renamed Longboat Japex Norge.

Japex also will provide a $100 million five-year acquisition financing facility, Longboat said.

The joint venture is part of Longboat’s goal of ‘building a leading Norwegian-focussed independent’, the company said.

‘Longboat is delighted to have found a strong and complementary strategic partner in Japex. Japex has been looking for the best way to enter Norway and identified Longboat as an excellent match to reach its strategic objective,’ says Longboat Chief Executive Helge Hammer.

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