2009-11-02 11:25:01 -
London, November , 02, 2009
2 November 2009
Faroe Petroleum plc ("Faroe", the "Company")
Successful side-track appraisal well on Tornado discovery, west of
Shetland
Faroe Petroleum plc, the independent oil and gas company focusing
principally on exploration, appraisal and undeveloped field
opportunities in the Atlantic margin, the North Sea and Norway, is
pleased to announce the completion of the side-track well drilled on
the Tornado discovery, West of Shetland, (Faroe 7.5% working
Interest).
OMV, as operator for the licence, has completed the drilling of the
side-track to the Tornado discovery well. The side-track was drilled
to a true vertical depth of 8654 feet in the Lamba Formation. The
water depth at this location is 1048 metres and the well was drilled
by the Stena Carron drillship as a cost sharing endeavour between
production licences P.1190 and P.1262.
The original well, 204/13-1, discovered gas and oil in Tertiary
reservoir sandstones which are approximately 90 feet thick, with
average porosity of 28.5%. The side-track well, 204/13-1Z, drilled
approximately 120 feet of sandstone with average porosity of 29%.
The thickness, quality and extent of the reservoir are in line with
pre-drill prognosis.
The gas-oil contact which was penetrated in the original well was
encountered in the side-track at the same depth. An oil-water
contact was penetrated in the side-track consistent with the oil
column observed in the original well. Extensive sampling of the
fluids has been undertaken.
The Tornado discovery is located approximately 10km northwest of the
Suilven discovery and 30km northwest of the Schiehallion, Foinaven
and Loyal producing oil fields. The participants in the well are OMV
35% and operator, Dana Petroleum 30%, Dong Energy 20%, Faroe
Petroleum 7.5%, and Idemitsu E&P 7.5%.
Graham Stewart, Chief Executive of Faroe Petroleum commented:
"We are very pleased to report the successful outcome of the
side-track appraisal well, which has reconfirmed the presence of a
significant accumulation of hydrocarbons and, based on the
preliminary logging data, the results exceed the prognosed net
hydrocarbon column and has found better than predicted reservoir
quality. With the benefit of the substantial data we now have,
further extensive analysis will be undertaken in the coming months to
determine the optimum means of exploiting this exciting discovery.
The Tornado discovery also has a positive and exciting impact on
Faroe's 100% held L002 (Faroe) and P1552 (UK) licences, on which we
are now commencing a new programme of analysis with the benefit of
the substantial new Tornado data.
"Tornado is the second of a firm five-well Atlantic Margin
exploration drilling programme which Faroe is undertaking over the
coming months. The first well in the programme, announced in
October, made a significant discovery, the Glenlivet gas field, which
is currently being appraised. We are scheduled to drill three
further very high impact exploration wells, the Anne Marie oil
prospect in the Faroes (operated by Eni), the Cardhu oil prospect in
the UK (operated by BP) and the Lagavulin oil prospect in the UK
(operated by Chevron)".
Ends -
Enquiries
Faroe Petroleum plc
Graham Stewart
Tel: +44 1224 650 920
Panmure Gordon
Dominic Morley
Ashton Clanfield
Tel: +44 20 7459 3600
Financial Dynamics
Billy Clegg/Edward Westropp
Tel: +44 20 7831 3113
James Jordan, who is a Geophysicist (with a BSc and MSc in Geology
from University College London), is Faroe Petroleum's Exploration
Manager for UK and the Faroe Islands and who has been involved in the
energy industry for more than 19 years, has read and approved the
technical disclosure in this regulatory announcement.
Notes to Editors
The Company is actively building a balanced portfolio of exploration,
appraisal and production properties, with significant stakes and an
active work programme. Faroe Petroleum has through successive
licence applications and acquisitions built a substantial portfolio
of exploration, appraisal, development and production assets across
the Atlantic Margin, the UK and Norwegian North Sea and the Norwegian
Sea. The licence portfolio provides considerable spread of risk and
reward, encompassing nearly 50 licences with eight licences West of
Shetlands, six licences offshore the Faroe Islands, two licences in
the Moray Firth area of the UK Central North Sea, nine licences in
the Southern gas basin and 19 licences in the Norwegian North Sea,
Norwegian Sea and Barents Sea. In addition Faroe has interests in
five producing oil and gas fields in the UK and Norway. Faroe
Petroleum's joint venture partners include BP, Chevron,
ConocoPhillips, DONG, DSM, Eni, E.ON Ruhrgas, GDF, OMV, RWE Dea,
Shell and Statoil all of which have an outstanding track record in
oil and gas exploration and development.
Faroe Petroleum is quoted on the AIM Market of the London Stock
Exchange with offices in Aberdeen, Stavanger and Torshavn. The
Company has a highly experienced team of professionals focused on
creating exceptional value for its shareholders.
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