Promising well off Ireland

August 17, 1999, 10:00 CEST

A new appraisal well has been completed with promising results on Ireland's Corrib field, where Statoil has an interest.

Testing of this well in block 18/25 has strengthened the view that the discovery contains commercially recoverable reserves.

Located in the Slyne Trough off western Ireland, the licence was awarded in 1993. Gas was proven in the area in 1996 and a first appraisal well -18/20-2 - last year showed good reservoir properties.

Well 18/25-1, which has just been completed, confirmed the earlier indications.

It clearly represents an encouraging result for Statoil, says Geir Jøssang, managing director of Statoil UK and area manager for exploration and production in western Europe.

"With this well, we're starting to get an overview of the reservoir. Everything points towards a commercial find. But a lot of evaluation work remains to be done before we can say anything definite about its profitability."

He adds that feasibility studies will be launched early next year with a view to clarifying a possible development by the end of 2000.

Lying in 350 metres of water 70 kilometres west of the island of Achill, Corrib is operated by Enterprise Oil with a 45 per cent interest.

Statoil's original holding was 15 per cent, with Saga Petroleum having 21.5 per cent and Marathon International Petroleum 18.5 per cent.

Under an agreement between Statoil and Norsk Hydro, the group is gaining Saga's interests in Corrib. That will give Statoil a 36.5 per cent holding in the field.