Paladin Makes Discovery on Siri Field Offshore Denmark

The exploration well Sofie-1 (5605/13-3) located approximately 20 kilometers northeast of the Siri field in the North Sea, in License 6/95, offshore Dnmark has been completed. The well was drilled with the Maersk Contractors' jackup, Maersk Gallant.

The well was spudded at the beginning of May in approximately 59 meters of water.

Sofie-1 was drilled as a vertical well and reached total depth at 1988 meters below mean sea level in chalk of Danian age. An oil discovery was made in sandstones of Paleogene age. Cores, logging results and oil samples were acquired for further evaluation of the discovery.

The Sofie-1 well is now being plugged and abandoned. Maersk Gallant will subsequently be moved to the Siri production platform, where it will be used for accommodation during work in preparation for tie-in of the Nini and Cecilie fields.

Commenting on the release, Roy Franklin, Chief Executive of Paladin, said: 'From acquisition in 2001, the performance of our Danish interests has been excellent. This is further good news - our preliminary analysis would suggest that the discovery can be developed as a satellite to the Siri Field although further work will be required to confirm its economic viability.'

Partners in License 6/95 are DONG as operator with 50%; Paladin with 30% and Denerco Oil with the remaining 20%.