Lundin Spent $127M on Exploration during First Quarter

Sweden's Lundin Petroleum spent approximately $127 milllion on exploration during the first quarter of 2014, the company reported Tuesday.

Lundin completed two exploration wells in Norway and two explorations wells in Indonesia during the period. These wells were all announced as either non-commercial or as dry holes. 

The cost of drilling the Langlitinden and Torvastad wells in Norway amounted to $73 million. The cost of drilling the Balqis and Boni wells, and the capitalized license costs relating to the Baronang production sharing contract in Indonesia, came to $45 million.

Lundin said the expenses will be offset by a tax credit of $61 million, which will give a post-tax net impact to its income statement for 1Q 2014 of $66 million.