Eighteen-well target to appraise Johan Sverdrup in North Sea

The semisubmersible Bredford Dolphin has started drilling the latest appraisal well on the Johan Sverdrup discovery on license PL501in the Norwegian North Sea.

Offshore staff

STOCKHOLM, Sweden – The semisubmersible Bredford Dolphin has started drilling the latest appraisal well on the Johan Sverdrup discovery on license PL501in the Norwegian North Sea.

According to operator Lundin Norway, well 16/3-5 is being drilled on the southeastern part of the structure. The aim is to determine the depth, quality, and thickness of Jurassic reservoir sequences 3 km (1.8 mi) south of appraisal well 16/3-4 and 3 km east of appraisal well 16/2-7.

The well should also provide calibration data on the depth to top reservoir in this part of the field and on the nature of the sub-cropping sediments. Planned TD is 2,025 m (6,644 ft) below mean sea level. Drilling is expected to last about 45 days.

Parent company Lundin Petroleum has budgeted exploration expenditure for 2013 of $330 million, which includes 10 exploration wells offshore Norway.

Six wells are planned around the Utsira High Area in the central Norwegian North Sea, the location for Johan Sverdrup and the company’sEdvard Grieg development. These will be drilled on the company’s operated licenses PL625, PL338, PL359, PL544, PL501, and PL410.

Lundin will drill two further exploratory wells in the southern Norwegian North Sea on PL495 and PL453; one operated well in the Barents Sea on PL492; and one non-operated exploration well on PL330 in the northern Norwegian Sea.

The company has allocated $140 million for Norwegian appraisal drilling, taken up by four wells on the two licenses containing Johan Sverdrup discovery, and two appraisal wells on PL338, including one on the southeastern extent of Edvard Grieg.

Offshore Southeast Asia, Lundin has set aside $115 million this year for exploration drilling, spread among two wells offshore Peninsular Malaysia and one offshore Sabah; and two wells offshore Indonesia on the Baronang and Gurita licenses.

The $10-million appraisal program focuses on pre-investment decision work on theBertam field off Malaysia in license PM307, ahead of a final investment decision. If the development moves forward, additional costs will be incurred.

Ashley Heppenstall, president and CEO of Lundin Petroleum, said: “With an 85% increase in capital expenditure for 2013, this year will be our busiest year ever. I am very pleased that all our Norwegian development projects are on schedule and that we still are on target for a doubling of our current production to in excess of 70,000 boe/d by the end of 2015.

“The appraisal of Johan Sverdrup is progressing well and by the end of 2013 it is likely that at least 18 exploration and appraisal wells will have been drilled on the discovery.”

01/07/2013

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