Lundin says Aldous Major South Is Significant Oil Discover In Norwegian North Sea

Lundin Petroleum AB said Monday  that the drilling of exploration/appraisal well 16/2-8 on the Aldous South prospect in PL265 in the Norwegian North Sea has resulted in a significant oil discovery. The discovery is most likely an extension of the Avalsdnes discovery made by Lundin Petroleum in PL501.

The well will be drilled to a vertical depth of 2,083 metres in water depths of 112 metres and is located 4 km to the west of the Avaldsnes discovery well in PL501 where Lundin Petroleum is the operator with a 40 percent interest. The well encountered a gross oil column in excess of 65 metres in sandstone of Jurassic age. The initial data acquisition program has confirmed excellent reservoir characteristics with a high net to gross ratio and the same oil- water contact as the Avalsdnes discovery well proving likely communication between the two structures. The acquisition of a comprehensive data set and samples is ongoing.

Preliminary calculations of the size of the discovery made by operator Statoil are between 200 and 400 million barrels of gross recoverable oil equivalent which excludes the Aldous Major North structure to the north and additional potential within parts of the Aldous Major South structure to the south. Lundin Petroleum will update its resource estimates fo r the Avaldsnes/Aldous Major South discoveries located in both PL501 and PL265 after completion of the second Avaldsnes appraisal well currently drilling and after reviewing all the Aldous Major South discovery well data. Further appraisal drilling is planned in PL265 next year to further appraise the Aldous Major South discovery. The well 16/2-8 was drilled using the rig Transocean Leader and will now move to drill the Aldous Major North prospect also located in PL265. Ashley Heppenstall , President and CEO of Lundin Petroleum comments; “The Aldous Major South well is of major significance confirming the extension of the Avaldsnes discovery to the west into PL 265 with an increased reservoir thickness above the oil-water contact and continued excellent reservoir characteristics. Avaldsnes/ Aldous Major South is a world class oil discovery and likely to be one of the largest Norwegian fields found in recent years. Lundin Petroleum is a partner with 10 percent in terest in PL265. Statoil ASA is the operator with 40 percent, Petoro has 30 percent and Det Norske oljeselskap ASA has 20 percent interest.