Neptune Energy Found Oil Off the Coast of Norway

Neptune Energy and its partners announced an oil discovery in the Dugong well in the North Sea, Norway's largest oil discovery so far this year, according to the Oil and Gas Pipeline Network on August 4.

Dugong is located 158km west of Flor in a depth of 330 metres, close to existing production facilities. The Dugong field consists of two reservoirs at a depth of 3,250-3,500 meters.

Neptune Energy said in a statement that its oil reserves were estimated at 6.3 million to 19 million standard cubic meters of recoverable oil equivalent, or 400 to 120 million barrels of oil equivalent.

Odin Estensen, Managing director of Neptune Energy Norway, said: "This is a significant discovery and has strategic implications for Neptune energy in the region. Dugong may also open up more opportunities in surrounding licensing areas, such as Norway Neptune's new core."

In addition, the Dugong discovery significantly reduces the risk of exploration in another field, which Neptune estimates has a recoverable oil equivalent of 5.2 million standard cubic meters, or 33 million barrels of oil equivalent. This allows Neptune to estimate the total resource potential of PL882 at up to 153 million barrels of oil equivalent.