New drilling is scheduled over the next two months at a prospect in the Barents Sea targeted by Lundin Petroleum, Norway's government said Monday.

The Norwegian Petroleum Directorate said it gave Lundin the approval to drill an exploration well in a Barents Sea prospect dubbed Alta.

"Drilling is scheduled to begin in May 2017 and will last 65 days," the directorate said in a statement of consent. "Possible well testing will be in addition."

Lundin in February made a discovery at a wildcat well, one drilling in an area not previously known to carry hydrocarbons, about 20 miles away from the producing Johan Castberg field in the Barents Sea. The NPD estimated the size of the discovery at between 34.5 million and 100 million barrels of oil equivalents.

Lundin in its outline for the first quarter said total production was 82.6 million barrels of oil equivalent per day, at the upper end of its guidance. The company gained leverage in Norwegian waters last year when regional major Statoil spent $538 million to acquire an 11.9 percent stake in the company.

Apart from Russia, Norway is the lead oil and natural gas supplier to the European market, designating nearly all of its offshore production for exports. Recent data assessments of the eastern and northern parts of the Barents Sea, areas previously a source of dispute with Russia, led to upward revisions of the reserve estimate by up to 65 percent.

Preliminary expectations from Lundin put the size of the Alta discovery at between 125 million and 400 million barrels of oil equivalent.

Tweet

Year-on-year gains in oil and gas tax collections for Oklahoma
Washington (UPI) May 5, 2017
Compared with this time last year, oil and gas sector revenue for Oklahoma expanded, though full-year input to state coffers remains depressed, the state said. Oklahoma is one of the top contributors to total U.S. oil production, accounting for about 5 percent of the nation's total output. Lower crude oil prices curbed exploration and production activity last year and the state's econom ... read more

Related Links
All About Oil and Gas News at OilGasDaily.com

Thanks for being here; We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain. With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords. Our news coverage takes time and effort to publish 365 days a year. If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceDaily Contributor $5 Billed Once credit card or paypal		SpaceDaily Monthly Supporter $5 Billed Monthly paypal only