Don SW well suggests extension

Offshore staff

ABERDEEN, UK --Petrofac has suspended an appraisal well on the Don SW structure in the northern North Sea. Following analysis of drilling results, it plans to resume operations with a side track in spring 2008.

According to partner Valiant Petroleum, the well penetrated three reservoir intervals, including the upper Brent, Statfjord, and Cormorant sections. Wireline logs confirmed that all three are oil bearing, suggesting a potentially new reservoir system in the Statfjord and Cormorant sands.

However, although the Brent section seems to be in communication with the main Don SW field, indications are that the well penetrated a fault in this region. The side track will be drilled to test the entire Brent sequence, once the partners have a better understanding of the fault's geometry.

Valiant's CEO Peter Buchanan says the partners plan further appraisal of potential upside in the area during 2008. They also have contracted the semisubJohn Shaw for development drilling on the field starting in April, to allow production to start in 2009.

12/19/2007