Luno may have further upside

Offshore staff

STOCKHOLM, Sweden --Lundin Petroleum says its Luno discovery offshore Norway contains 65-190 MMboe of recoverable light oil.

However, this estimate only applies to reserves encountered drilling through a Jurassic sandstone reservoir. The company believes there is potential upside in a Triassic reservoir also penetrated by the 16/1-8 discovery well.

Partner Revus Energy has offered Lundin one of its rig slots to allow rapid appraisal of the find, as the semisubmersibleBredford Dolphin is moving on to drill a prospect named Thorkildsen in the North Sea for DNO. Revus, also a partner in this well, says there is a 40% chance of finding oil in this structure, with potentially up to 60 MM bbl in place.

Last month Revus was involved in another discovery in the Norwegian sector, Storskrymten, where the partners are currently drilling a deeper target, called Grytkollen.

10/25/2007