Amerada Hess Successful Off Faroe Islands

Amerada Hess Corporation, as operator of Licence 001 in the Faroe Islands, announced that well 6004/16-1 has discovered both oil and gas – the first discovery in the Faroes offshore.

Light oil and gas were discovered over a gross interval of approximately 170 meters. The well was not subjected to a flow test due to weather conditions, and following logging operations, is now being plugged and abandoned.

Commenting on the discovery, Amerada Hess UK Managing Director, Nick Fairbrother said: “This is a great result. We’re delighted that our first well in the Faroes has been successful and we look forward to following up on this success with our drilling program next year. However, while the results show the presence of significant volumes of hydrocarbons in the Faroes sector of the northeast Atlantic, a great deal more work is required to evaluate the results of the well and determine the appropriate appraisal program.” Amerada Hess Faroes Manager, Ben Arabo added: “This positive result offers encouragement for the future of the oil and gas industry in the Faroes. I would also like to pay tribute to the efforts of the Faroese authorities, with whom we have built a strong working relationship.”

Located close to the boundary with the United Kingdom, in 950 meters of water, the well was drilled to a total depth of 4275 meters in a deepening operation, after reaching the commitment depth of 3830 metres. While the initial section of the operation was funded by the full Faroes Partnership, the subsequent deepening was funded by Amerada Hess (71.547%), DONG E&P (28.286%) and Atlantic Petroleum (0.167%) under the sole risk provisions of the Partnership agreement.