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SHELL COMPLETES WELL AT ONYX SOUTHWEST GAS DISCOVERY IN NORWAY

(The following is a reformatted version of a statement issued by Norway’s Petroleum Directorate, obtained at http://www.npd.no. The statement was not confirmed with the sender.)

Delimitation of gas discovery in the Norwegian Sea
Press Release 24/2007

June 29 — A/S Norske Shell, operator of production licence 255, has concluded drilling of appraisal well 6406/9-2 on the 6406/9-1 discovery (?Onyx Sørvest?).

The 6406/9-1 discovery was proven in 2005 and is located approx. 40 km north-west of the Draugen field in the Norwegian Sea. The discovery contains gas in Middle to Lower Jurassic rocks. In a press release issued in January 2006, the NPD indicated a range of uncertainty of 10-50 billion Sm3 recoverable gas for the discovery.

The objective of appraisal well 6406/9-2 was to delimit the discovery. The well encountered gas/water contacts in Middle to Lower Jurassic rocks, thus confirming the northerly extent of the discovery. The NPD’s preliminary assessment is that the size of the discovery is probably in the upper half of the uncertainty range. The well was not formation tested, but extensive data collection and sampling were carried out. The collected data will be analysed to enhance the estimated size and production characteristics of the discovery.

The appraisal well was drilled to a total depth of 5330 metres below sea level, and was concluded in the Are formation of the Lower Jurassic Age. The water depth was 299 metres. The well has now been permanently plugged and abandoned. The well was the fourth exploration well in production licence 255, which was awarded in the 16th licensing round in 2000.

The well was drilled by the semi-submersible drilling facility West Alpha, which will now proceed to the Kristin field in the Norwegian Sea to drill production well 6506/11-N-2 H.

The licensees in production licence 255 are:
A/S Norske Shell (operator): 30%
Petoro AS: 30%
Statoil ASA: 20%
Total E&P Norge AS: 20 %
OL(bse) -END-
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Last Updated: June 29, 2007 08:42 EDT

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