StatoilHydro Confirms New Norwegian Sea Gas Find

Snefrid South and Haklang
(Click to Enlarge)

StatoilHydro has concluded the drilling of exploration well 6707/10-2S in the Norwegian Sea. Gas was confirmed in a reservoir with good production qualities.

The well was drilled in production license 218, which is located southeast of the Luva gas find and 280 kilometers west of Sandnessjoen in mid-Norway. StatoilHydro is the operator of the production license.

The purpose of the well was to confirm gas in reservoir rocks from the Late Cretaceous age in a prospect called Haklang. A 127-meter long gas column was proven in a reservoir with good production qualities. Core drilling in the sandstone was carried out and fluid and pressure samples were taken.

The size of the discovery is estimated to be between 8 and 14 billion standard cubic meters (Sm3) of recoverable gas.

"It is gratifying to hear that gas has been proven also in this well," said Oystein Michelsen, who is responsible for StatoilHydro's activities on the Norwegian continental shelf.

A joint development of Haklang and the nearby Luva and Snefrid South discoveries will be considered. Luva was confirmed by BP in 1997.

"We took over as operator and increased our interest in the license to 75% in 2006. This year we have drilled two exploration wells in the area -- Snefrid South and Haklang.

"The total resource potential of these three finds is expected to be in the size of 40-60 billion cubic meters of recoverable gas," said Michelsen. "This well is an important step in order to prepare for a new deepwater development in the Norwegian Sea."

The well is the third exploration well in production licence 218, which was awarded in the 15th licensing round in 1996.

The well was drilled to a depth of 3,356 meters below sea level and was completed in the Nise formation in Late Cretaceous rock. The water depth is 1,248 meters.

Well 6707/10-2S was drilled by Transocean Leader, which is now drilling sidetrack well 6707/10-2A with the aim of exploring a deeper prospect in the same production license.

The partners in production license 218 are StatoilHydro ASA (Operator with 75%), ExxonMobil Exploration & Production Norway AS (15%) and ConocoPhillips Skandinavia AS (10%).

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