Alta appraisal well in PL609 in the southern Barents Sea

Stockholm, 2016-09-30 08:30 CEST (GLOBE NEWSWIRE) --  

Lundin Petroleum AB (Lundin Petroleum) is pleased to announce that its wholly owned subsidiary Lundin Norway AS (Lundin Norway) has successfully completed the drilling and testing of the re-entry of appraisal well 7220/11-3 A (Alta-3) on the eastern flank of the Alta discovery in PL609. The Alta discovery is estimated to contain gross contingent resources of between 125 and 400 million barrels of oil equivalents (MMboe). The original Alta-3 well, drilled in 2015, encountered a gross hydrocarbon column of approximately 120 metres. The objective of the Alta-3 re-entry was to deepen the well to further assess the quality of the Permo-Carboniferous carbonate reservoir as well as to conduct injection and production tests. Three tests were successfully performed to investigate the production/injection characteristics of the reservoir. Two injection tests in the carbonate reservoir below the oil-water contact injected 5,000 and 18,200 barrels of seawater per day proving good to very good reservoir quality and injectivity in the Falk and Ørn formations, respectively. A production test in the gas zone in the Lower Triassic reservoir section produced a maximum of 21 million cubic feet of gas per day through a 64/64 inch choke. There was no test planned in the oil zone. Pressure data from wells 7220/11-3, -3A and -3 AR indicate good communication with the two previously drilled wells on the Alta discovery. Alex Schneiter, CEO and President of Lundin Petroleum comments: "We are very pleased with the latest results which indicate excellent reservoir characteristics at the re-entry well and away from the well bore. Further appraisal over the Alta discovery will be required during 2017 to fully delineate this large structure". The re-entry well, which was the first of three wells in 2016 drilling campaign on the Loppa High, was drilled to a total depth of 2,575 metres measured depth and 2,389 metres TVD below mean sea level, in rocks of Carboniferous age. The water depth is approximately 400 metres. Once the Leiv Eiriksson rig has plugged and abandoned the Alta-3 well it will move some 60 km to the north on PL609 to re-enter the suspended well 7220/6-2 to complete the drilling of the Neiden prospect which is estimated to contain gross unrisked prospective resources of 204 MMboe. Lundin Norway is the operator of PL609 and holds a 40 percent working interest in the licence. Partners are Idemitsu Petroleum Norge AS and RWE Dea Norge AS with 30 percent respectively.

Lundin Petroleum is a Swedish independent oil and gas exploration and production company with a well balanced portfolio of worldclass assets primarily located in Europe and South East Asia. The Company is listed on NASDAQ Stockholm (ticker "LUPE"). Lundin Petroleum has proven and probable reserves of 716.2 million barrels of oil equivalents (MMboe) as at 1 January 2016.

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