STOCKHOLM, SWEDEN -- (Marketwired) -- 05/06/13 -- Lundin Petroleum AB (TSX: LUP)(OMX: LUPE) (Lundin Petroleum) through its wholly owned subsidiary Lundin Norway AS (Lundin Norway) is pleased to announce that the testing of the previously announced Luno II discovery has been successfully completed.
The discovery is located in PL359 in the central North Sea sector of the Norwegian Continental Shelf (NCS) on the south western flank of the Utsira High approximately 15 km south of the Lundin Petroleum operated Edvard Grieg field.
The exploration well 16/4-6S on the Luno II prospect has been production tested and flowed at over 2,000 bopd through a 48/64 inch choke with a gas to oil ratio of 1100 scf/bbl. Lundin Petroleum estimates that the Luno II structure which is believed to span across two separate reservoir segments contains gross contingent resources of 25 - 120 million barrels of oil equivalents (MMboe) as well as gross prospective resources of 10 - 40 MMboe for the Luno II North segment. In addition there are prospective resources outside the two mentioned areas.
The discovery well has been drilled in the southern segment of the Luno II structure. The well proved the presence of a Jurassic/Triassic reservoir with a gross oil column of 45 metres and proved an oil water contact at 1,950 metres below MSL. The oil is saturated and in contact with a gas cap at the top of the reservoir. The well proved a sand sequence of 280 metres with fair reservoir quality.
The contingent resources relate to the southern segment of the Luno II structure and the prospective resources to the northern segment. Appraisal drilling in PL359 is being evaluated to take place later this year to further delineate the southern reservoir segment which at the high end of the resource range likely extends into PL410 to the east of PL359. The lower end of the contingent resource range only reflects the northern part of the southern reservoir segment directly proven by the well.
The discovery well was drilled in water depths of 101 metres.
Ashley Heppenstall, President and CEO of Lundin Petroleum AB, commented: "We are pleased to announce another significant discovery in the Utsira High region which in terms of size and location is likely to be commercial. We have an active exploration programme this year in the Utsira High area and look forward to further discoveries in the area."
The well was drilled using the semi-submersible drilling rig Bredford Dolphin. The rig will now 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.
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 202 million barrels of oil equivalent (MMboe).
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