Talisman Makes North Sea Discovery

Talisman Energy has made an oil discovery in the UK Central North Sea adjacent to the Buchan Field.

The 21/1a-19 well successfully tested the J-1 exploration prospect located some 10 kilometers northeast of the Buchan Field in Block 21/1a. The well discovered a gross oil column of 164 feet, with 82 feet of net hydrocarbon pay, in good quality Upper Jurassic sandstones and flowed at a rate of 6,600 bbls/d of 40 degrees API oil plus 7.7 mmcf/d of natural gas. Test rates were limited by surface equipment.

Two sidetrack wells, with step-outs of one to two kilometers were drilled to appraise the discovery. The 21/1a-19z sidetrack established the northern limits of the field and the 21/1a-19y sidetrack found 172 feet of gross oil column with 141 feet of good quality net pay sandstone in the eastern area of the field. The discovery is estimated to contain 40-70 mmbbls of oil-in-place and will be economic to develop. There are other related exploration prospects in the Buchan Block, one of which will be drilled in 2003. Development planning will proceed after assessment of the other prospects. An evaluation of reprocessed 3-D seismic in the area is currently underway.

Talisman holds an 87.43% interest in the northern area of Block 21/1a containing the discovery. The remaining interests are held by EDC (Europe) Limited, a subsidiary of Noble Energy, Inc., with 7% and First Oil Expro Limited with 5.57%.