• 4 days Retail On Pace For Most Bankruptcies And Store Closures Ever In One Year: BDO
  • 10 minutes America Could Go Fully Electric Right Now
  • 5 hours Majors Oil COs diversify into Renewables ? What synergies forget have with Solar Panels and Wind Tirbines ? None !
  • 38 mins Something wicked this way comes
  • 6 hours A sneak peak into the US election
  • 2 hours America's Frontline Doctors - Safely Start Living Again!
  • 10 hours France Sees 10.6% EV Market Share In September — 4× Growth Year On Year
  • 24 hours covid. stop the carriers and thus stop the virus.
  • 1 day "COVID Kills Another Oil Rally" by Tom Kool 10/16/2020
  • 2 days Is the coal industry on the way out?
  • 2 days GPOR - Gulfport Oil - Why?
  • 11 hours California’s Electric Vehicle Dream Has A Major Problem: No
  • 12 hours Tesla Model 3 Is September's Top Selling Car of All Vehicles in Switzerland
  • 2 days Tucker Carlson responds to CDC after agency critiques commentary about mask-wearing
  • 19 hours Vote Biden for Higher Oil Prices
  • 20 hours Permian in for Prosperous and Bright Future
  • 1 day Ethanol present in gasoline
Oil & Gas 360

Oil & Gas 360

From our headquarters in Denver, Colorado, Oil & Gas 360® writes in-depth daily coverage of the North American and global oil and gas industry for…

More Info

Premium Content

Will Statoil Bail On Its Barents Sea Project?

210-420 Bcf recoverable not enough in Barents Sea

Statoil (ticker: STO) reported the results of its first well in the Korpfjell prospect, an exploratory well in the Barents Sea.

The Korpfjell prospect is a large structure in the Norwegian section of the Barents Sea, well within the Arctic Circle. According to Lundin Petroleum (ticker: LUPE), which holds a 15 percent stake in the prospect, the project could contain more than one billion BOE gross. The structure is three to four times larger than Johan Sverdrup, one of the largest fields on the Norwegian continental shelf.

(Click to enlarge)

Source: Lundin Petroleum

However, the first well drilled into this prospect has not lived up to expectations.

The exploratory well encountered gas, indicating 210-420 Bcf of gas recoverable. While this result might trigger development in some areas, gas commercialization in the Barents Sea would be very difficult. The closest land to the prospect is the tiny island of Hopen, 250 miles away. The northernmost tip of Norway is nearly 260 miles away, meaning developing a gas prospect would be a significant endeavor. With this in mind, Statoil and its partners will plug and abandon this well and analyze the data collected.

(Click to enlarge)

Source: Statoil

Statoil’s head of exploration in Norway and the UK extensively discussed the results of the well, saying “We have all the time pointed out the high level of geological uncertainty related to Korpfjell. The main question was whether we would find anything at all – and if we did, would it hold gas or oil. Related: Texas Shale Hit Hard By Hurricane Harvey

”Korpfjell is a structure of a size seldom seen on the Norwegian Continental Shelf and has attracted much interest, and the results of the first well in this frontier area of the Barents Sea have triggered broad and strong expectations. For this reason, it has been important to us to complete this drilling.

“The results are of course disappointing, but it is too early to draw any conclusions on how this will impact the Barents Sea southeast area.”

“It is important to remember that you rarely succeed on the first try in a frontier area. Thirty-three wells were drilled before the first commercial discovery was made in the Norwegian section of the North Sea. Even if we have learned a lot since 1969, we do not expect the first exploration well to give all the answers. We need further exploration to find out what this implies for the total resource potential of the Barents Sea southeast area.”

By Oil and Gas 360

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News