Danish oil company DONG E&P and partners in the Oselvar discovery off Norway say “encouraging” appraisal wells point to a field development at the site despite the “reservoir thickness penetrated” being “slightly less than anticipated”.

Partner Revus Energy said drilling was over at the North Sea field and DONG managers expect to submit a plan for the field’s dvelopment and operation to the Norwegian Parliament, the Storting, which has never said “Nei” to a new project.

Up to 38 million barrels of oil and four billion cubic metres of gas are said to be in place.

The Block 1/3-10A well was the fourth well at the site and a sidetrack of an earlier appraisal well and traced the reservoir’s oil-water border.

Oselvar lies just 20 kilometres west of the Gyda field. 1/3-10 and 1/3-10A are third and fourth wells that have been drilled on the discovery. After a stint with BG Norge, the drill rig Mærsk Guardian returns to DONG for another exploration well at a prospect called "Ipswich", a License 274 neighbour of Oselvar’s.

DONG, with 40 percent, is joined at Oselvar by PA Resources of Sweden (30 percent), Noreco (15 percent) and Revus with 15 percent.

Tags: DONG, Gyda, Noreco, PA Resources, Revus Energy