Neptune Energy has announced the commercial discovery of oil at the Dugong well in the Norwegian sector of the North Sea.
The find, which Neptune says is the largest discovery in Norway so far this year, is estimated to contain between 40 and 120 million barrels of oil equivalent (boe). Additionally, the Dugong discovery is said to have “significantly de-risked” another prospect in the PL882 license estimated to contain 33 million boe.
“This is a significant discovery and strategically important for Neptune Energy in this region,” Neptune’s managing director in Norway, Odin Estensen, said in a company statement.
“It underlines our commitment to continue investing in activities in the Norwegian sector which is an integral part of our geographically diverse portfolio,” Estensen added.
“Dugong may also open up additional opportunities in the surrounding licences, with the potential for a new core area for Neptune in Norway,” the Neptune MD continued.
Neptune’s director of exploration and development in Norway, Steinar Meland, said, “the discovery gives new and valuable understanding of the subsurface in this part of the Tampen area”.
“We are very pleased to see that our exploration model developed together with our partners has proved to be successful. We will now initiate studies, as well as consider development options for the discovery,” Meland added.
The Dugong partners comprise Neptune Energy, which holds a 40 percent operated interest, Concedo, Petrolia NOCO and Idemitsu Petroleum Norge, which each hold a 20 percent stake. Located in PL882, Dugong is situated 98 miles west of Floro, Norway, at a water depth of 1,082 feet, and is close to existing production facilities.
Neptune Energy is an independent, global, exploration and production company with operations across the North Sea, North Africa and Asia Pacific, according to its website. The business had production of 144,000 net barrels of oil equivalent per day in 2019 and 2P reserves of 633 million barrels of oil equivalent, as of December 31, 2019, its website shows.
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