DNO strikes oil in new play offshore Norway

Norway

OSLO, December 3, 2024 – Norwegian oil and gas operator DNO has made a light oil discovery in offshore licence PL1086, the company announced on Monday.

DNO had two exploration targets: a deeper prospect (Falstaff), where no reservoir was encountered and a shallower prospect (Othello), where a 16-metre net oil-bearing reservoir was encountered. Preliminary estimates indicate that gross recoverable resources could lie in the 27 million-57 million boe range.

As this is the first moveable oil that has been encountered, the discovery is considered a play opener. In recent years, the industry has shown little exploration interest in this area, which has been disparagingly called “the dry belt.”

The company is considering tying back the discovery to existing infrastructure, with the ConocoPhillips Ekofisk hub some 40 kilometres to the west and the Valhall hub operated by Aker BP some 55 kilometres to the southwest.

“DNO has become a North Sea playmaker. We have proven persistent, purposeful and pertinacious and these qualities pay in exploration. In addition to our ongoing exploration campaign, we will focus on other identified, and now derisked by Othello, prospects in the area,” said DNO’s executive chairman Bijan Mossavar-Rahmani.

DNO operates licence PL1086 with a 50% interest, with the remaining interest being held by Aker BP (20%), Petoro (20%) and Source Energy (10%).

Photo of Valhall hub courtesy of Aker BP