Lundin Petroleum spuds appraisal well 7120/1-4s in PL 492

Stockholm, 2014-05-23 08:30 CEST (GLOBE NEWSWIRE) --  

Lundin Petroleum AB (Lundin Petroleum), through its wholly owned subsidiary Lundin Norway AS (Lundin Norway), is pleased to announce that drilling of appraisal well 7120/1-4s in PL492 has commenced. The well will appraise the hydrocarbon potential of the Gohta discovery in PL 492, which is located  155 km northwest of the Norwegian coast (189 km northwest of Hammerfest) and 5.7 km northwest of the original Gohta discovery well.

The main objective of well 7120/1-4s is to test the reservoir properties and hydrocarbon potential of the Permian carbonates in the Gohta karst Røye formation and the overlying Kobbe formation sandstones. The Gotha discovery well 7120/1-3 was completed in October 2013 and found a 25 metre gross gas column above a 75 metre gross oil column in karstified and dolomitized limestone. The well production tested approximately 4,300 bopd through a 44/64" choke and the preliminary evaluation of the gross recoverable oil and gas resources from the Gohta discovery is estimated at between 105 and 235 million barrels oil equivalent. The planned total depth is 2,930 metres below mean sea level and the well will be drilled using the drilling rig Island Innovator. Drilling is expected to take approximately 65 days. Lundin Norway is the operator and has a 40 percent working interest in PL 492. The partners are Det norske oljeselskap ASA with a 40 percent working interest and and Noreco Norway AS with a 20 percent working interest.

Lundin Petroleum is a Swedish independent oil and gas exploration and production company with a well balanced portfolio of world-class assets primarily located in Europe and South East Asia. The Company is listed at the NASDAQ OMX, Stockholm (ticker "LUPE") and at the Toronto Stock Exchange (TSX) (Ticker "LUP"). Lundin Petroleum has proven and probable reserves of 194 million barrels of oil equivalent (MMboe).

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These risks and uncertainties are described in more detail under the heading "Risks and Risk Management" and elsewhere in the Company's annual report.  Readers are cautioned that the foregoing list of risk factors should not be construed as exhaustive. Actual results may differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements are expressly qualified by this cautionary statement. Reserves and Resources Unless otherwise stated, Lundin Petroleum's reserve and resource estimates are as at 31 December 2013, and have been prepared and audited in accordance with National Instrument 51-101 Standards of Disclosure for Oil and Gas Activities ("NI 51-101") and the Canadian Oil and Gas Evaluation Handbook ("COGE Handbook")."). Unless otherwise stated, all reserves estimates contained herein are the aggregate of "Proved Reserves" and "Probable Reserves", together also known as "2P Reserves". For further information on reserve and resource classifications, see "Reserves, Resources and Production" in the Company's annual report. Contingent Resources Contingent Resources are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from known accumulations using established technology or technology under development, but are not currently considered to be commercially recoverable due to one or more contingencies. Contingencies may include factors such as economic, legal, environmental, political and regulatory matters or a lack of markets. There is no certainty that it will be commercially viable for the Company to produce any portion of the Contingent Resources. Unless otherwise stated, all contingent resource estimates contained herein are the best estimate (“2C”) contingent resources. Prospective Resources Prospective Resources are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. Prospective Resources have both a chance of discovery and a chance of development.  There is no certainty that any portion of the Prospective Resources will be discovered.  If discovered, there is no certainty that it will be commercially viable to produce any portion of the Prospective Resources. Unless otherwise stated, all Prospective Resource estimates contained herein are reflecting a P50 Prospective Resource estimate. Risked Prospective Resources reported herein are partially risked. 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