Promising Gas Discovery in the Norwegian Sea

Thursday, October 16, 2008

StatoilHydro has concluded the drilling of exploration well 6707/10-2S in the . Gas was confirmed in a reservoir with good production qualities.

The well was drilled in production license 218, which is located south-east of the Luva gas find and 280 kilometers west of Sandnessjøen in mid-Norway. StatoilHydro is the operator of the production license.

The purpose of the well was to confirm gas in reservoir rocks from the Late Cretaceous age in a prospect called Haklang.

A 127-metre long gas column was proven in a reservoir with good production qualities. Core drilling in the sandstone was carried out and fluid and pressure samples were taken.

The size of the discovery is estimated to be between 8 and 14 billion standard cubic meters (Sm3) of recoverable gas.

A joint development of Haklang and the nearby Luva and Snefrid South discoveries will be considered. Luva was confirmed by BP in 1997. The well is the third exploration well in production license 218, which was awarded in the 15th licensing round in 1996.

The well was drilled to a depth of 3,356 meters below sea level and was completed in the Nise formation in Late Cretaceous rock. The water depth is 1248 meters.

Well 6707/10-2S was drilled by Transocean Leader, which is now drilling sidetrack well 6707/10-2A with the aim of exploring a deeper prospect in the same production license.

The partners in production license 218 are: StatoilHydro ASA (operator) (75 percent), ExxonMobil Exploration & Production Norway AS (15) and ConocoPhillips Skandinavia AS (10).

(www.statoilhydro.com)

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