Faroe Petroleum has sold its 10% stake in the undeveloped Glenlivet gas field, West of Shetland, to Total E&P UK.

The £10m overall consideration for the stake includes a proportion deferred until a field development plan is submitted and several production targets are met.

"Faroe has a very exciting continuing exploration and appraisal programme to look forward to in 2015."

Faroe Petroleum chief executive Graham Stewart said: "Faroe has a very exciting continuing exploration and appraisal programme to look forward to in 2015.

"Our unique and robust financial position ensures we can participate in another five well high impact campaign in Norway. This will target significant resource potential and is funded from a combination of cash flow from our significant production base and Norwegian state funding."

Glenlivet, which was discovered in 2009, is located in the Faroe Shetland Basin in water depths of about 500m, approximately 35km north-east of the Laggan gas field and 19km north of the Edradour gas discovery.

Total, which also operates the Edradour discovery, acquired a 60% stake in Glenlivet and took over operatorship from DONG E&P UK.

Total plans to develop Glenlivet in conjunction with the Edradour field as part of the wider West of Shetland’s Laggan and Tormore gas development, which was approved in 2010.

Energy