NOIL Energy ASA: delineation of oil discovery in the North Sea

This article originates from the news archive of Det norske.

30. November 2007

Det norske oljeselskap ASA (`DETNOR`) announces that the Ragnarock well 16/2-4 is at TD of 2000 m below sea level. Det norske oljeselskap`s affiliate, NOIL Energy ASA, holds a 30% interest in the 265 license. The current evaluation indicates considerable hydrocarbon volumes with a high uncertainty in recovery factor. A series of mini-DST well tests were conducted, which confirmed limited flow potential in the chalk reservoir.

Oil and gas were also proven in low permeable crystalline basement.

The main purpose of the well was to prove the extent of the moveable hydrocarbons and evaluate productivity within the chalk reservoir. More detailed evaluations are necessary to confirm the potential of Ragnarock and if commercial volumes can be produced. This well is located 35 km east of the Gudrun Field and was drilled with the West Epsilon jack-up rig. The water depth in the area is 113 metres.

The partners in PL 265 are StatoilHydro ASA (30% and operator), NOIL Energy ASA
(30%), Petoro AS (30%), and Talisman Energy Norge AS (10%).

Managing Director in NOIL Energy Tore Lilloe-Olsen comments:

We are pleased that the extent of Ragnarock has been confirmed and we are encouraged about the result of the testing. The discovery is in the same area where  our ongoing exploration well on `Thorkildsen` is presently drilled and we look at this area as an important part of our portfolio.