Faroe Petroleum, the independent oil and gas company focusing activities in Norway and the UK, has started drilling the Brasse exploration well 31/7-1 in the Norwegian North Sea.
The Brasse prospect, operated by Faroe with 50% interest, is located immediately south of the producing Brage oil field (Faroe 14.3%) and, if successful, could be tied-back to the Brage facilities or alternatively to other nearby installations, Faroe said on Tuesday.
The well will target the Jurassic aged sandstones in a four-way dip-closed structure with a total vertical depth of approximately 2,750 meters in the Early Jurassic Statfjord Formation.
The water depth at the site is 118 metres and the well will be drilled using the semi-submersible Transocean Arctic drilling rig. The co-venturer in the PL740 licence is Core Energy AS (50%).
Graham Stewart, Chief Executive of Faroe Petroleum said: “I am pleased to announce the spudding of the Faroe-operated, Brasse exploration well located in close proximity to our producing Brage oil field. This is a near field exploration target which provides significant upside potential to Faroe, in one of our core areas. On a post-tax basis the well is expected to cost Faroe less than £2 million.”