Sweden’s Lundin gets green light for Barents Sea exploration well


Sweden’s Lundin gets green light for Barents Sea exploration well

Sweden’s Lundin Petroleum has secured regulatory approval for drilling an exploration well on one of its Barents Sea production licences that lies about 10 km from the Snøhvit gas field.

The Norwegian Petroleum Directorate (NPD) gave the green light at the end of September for Wildcat well 7120/6-3 S.

Lundin is the operator of production licence 490, which was awarded in 2007, and holds a 60% interest, according to the NPD. The other licencees are Spring Energy and Norwegian energy company Noreco, which each hold 20%. Spring Energy plans to increase its share to 30%, subject to approval from the authorities, giving Lundin a 50% working interest after the farm-out.
Lundin will drill the well from the Transocean Arctic facility, a rig specially designed to operate in the harsh environment associated with the region.
The exploration will target the Snurrevad-Juksa prospect, with the companies hoping to prove the presence of hydrocarbons in lower Cretaceous/upper Jurassic reservoirs.
The well was approved under section 8 of the NPD’s resource management regulations.
Production licence 490 consists of parts of blocks 7120/4, 7120/5 and 7120/6, which lie northwest of Snøhvit.
Lundin’s Barents sea operations received a boost earlier in October when the company announced it had discovered gas condensate at another exploration well located about 50km north west of Snøhvit. Preliminary calculations by the NPD for that discovery put volumes at between 5 and 7 billion standard cubic metres.

By: Tom Hoskyns

Source: Interfax (www.interfaxenergy.com)