Discovery on Krafla West
Det norske oljeselskap ASA has made an oil- and gas/condensate discovery on Krafla West, where Statoil ASA is the operator.
Preliminary estimates indicate that the discovery could hold between 13 and 38 million barrels of oil equivalents. Krafla West is a separate structure and the volumes discovered here are additional to the volumes found in the adjacent Krafla discovery, made in May this year.
Most recent estimates from the operator Statoil indicate that Krafla most likely contains about 40 million barrels of oil equivalents. Total estimated recoverable volumes from Krafla West and Krafla are thus in the range of 50 to 80 million boe.
“We are very pleased with the results from both Krafla West and Krafla. The discoveries are located only 26 kilometres from the Oseberg South field, in 108 meters of water. The structures are also such that the oil and gas can be produced from relatively few production wells. Altogether, this makes Krafla West and Krafla very profitable discoveries. Preliminary estimates from the operator indicate break-even prices in the range USD 20 to USD 30 per boe. For Det norske, these two discoveries could increase production significantly in a few years at a relatively low initial investment,” Det norske CEO Erik Haugane said.
Krafla and Krafla West are located in PL 035 and PL 272. The partnership in the two licenses is identical, and consists of:
StatoilPetroleum AS (Operator) 50%
Det norske oljeselskap ASA 25%
Svenska Petroleum exploration AS 25%