Lundin Marks Potentially Significant Oil Discovery

Lundin Petroleum AB has announced that the drilling of exploration well 16/4-6S on the Luno II prospect in the Norwegian part of the North Sea has resulted in a potentially significant oil discovery. The well is located in PL359 in the central North Sea sector of the Norwegian Continental Shelf (NCS). The well will now be tested.

The well was drilled in water depths of 101 metres and is located on the south western flank of the Utsira High approximately 15 km south of the Lundin Petroleum operated Edvard Grieg field.

The well has drilled through a section of close to 200 metres of sand with a high net-to-gross content. A gross oil column in excess of 40 metres has been proven. The oil water contact was encountered at approximately 1,950 metres below mean sea level. It is a light oil of good quality. The pressure data indicates that the petroleum system in Luno II is different to that seen in the Edvard Grieg and Johan Sverdrup fields. A comprehensive coring, logging and fluid sampling program has been performed. The discovery will now be production tested.

Ashley Heppenstall, President and CEO of Lundin Petroleum AB, commented: “We are very pleased that Luno II appears to be another significant discovery on the Utsira High. The existence of a thick reservoir section at this location is excellent news. The reservoir quality, whilst not the same as Johan Sverdrup, appears good and will now be tested. We expect to provide a range of recoverable resources from the discovery after testing is completed in 2-3 weeks time”

The well was drilled using the semi-submersible drilling rig Bredford Dolphin. Following the completion of the testing programme the rig will be moved to the Lundin Norway operated PL501 to continue the appraisal drilling on the Johan Sverdrup discovery.

Lundin Norway AS is the operator of the PL359 with a 40 percent interest. The partners are Statoil Petroleum ASA with 30 percent and Premier Oil plc with 30 percent interest.

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Press Release, April 8, 2013