Tethys affiliate Jylland Olie Aps has farmed out its Rietavas license onshore Lithuania to Chevron, according to a news release.

The transaction reduces Tethys’ indirect interests in the Rietavas license to 14% from 20%.

Chevron has the option to acquire additional interest in the Rietavas license at a predetermined price within three years, the release said. If the option is exercised, Tethys’ indirect interest in the Rietavas license will be reduced to 5.6%.

The work program, to be fully funded by Chevron, is primarily designed to evaluate the license for shale gas/oil potential and includes 2D and 3D seismic surveys as well as the drilling of multiple wells, according to the release.