Testing of the oil discovery on Gohta 7120/1-3 is completed

Lundin Norway AS, operator for exploration licence PL492, has completed drilling and testing of exploration well 7120/1-3. The well encountered oil in contact with an overlying gas cap.

Reference is made to the press release of 10 September, in which it was announced that an oil discovery on PL492 Gohta was to be tested.

This production test, which aimed at clarifying the quality of the reservoir, has now been completed. The test flow was stable for 24 hours, and the pressure build up after the flow lasted for 36 hours. The production rate through a 44/64" choke was 683 Sm3/day of oil and associated gas production was 222 300 Sm3/day. This is equivalent to 5 695 barrels of oil equivalents per day. Gas/oil ratio was 325 Sm3/ Sm3.

The test showed good production characteristics in the limestone and dolomite reservoir. This is the first successful test in Permian carbonates on the Norwegian continental shelf.

Preliminary calculations of the size of the discovery is between 10 and 23 million Sm3 of recoverable oil and 8-15 billion Sm3 of recoverable gas, amounting to between 113 and 239 million barrels of oil equivalents.

The results confirm for the first time oil and gas in an exploration model that has not previously been successful in Norway. Further appraisal of the discovery is being planned.

The drilling operation was performed by the semi-submersible drilling rig Transocean Arctic. The well was drilled in a water depth of 342 meters, and drilled to 2 515 meters below the seabed.

The ownership of PL492 Gohta is; Lundin Norway (40 %, operator), Det Norske oljeselskap ASA (40 %) and Noreco Norway AS (20 %).


Ørjan Gjerde, CFO (0047 900 35 738)

This information is subject of the disclosure requirements pursuant to section of 5-12 of the Norwegian Securities Trading Act


About Norwegian Energy Company ASA

Noreco is an independent Norwegian oil company. The company’s focus is to explore, develop and produce oil and gas in the North Sea region. Since incorporation in 2005, the company has grown through license rounds, successful exploration and acquisitions. Noreco operates in Norway, Denmark and United Kingdom, and employs around 70 oil and gas professionals. Noreco is listed on the Oslo Børs (ticker NOR).

For further information, please visit: www.noreco.com

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Noreco is a publicly owned company with focus on the oil, gas and offshore industry. The company's shares are listed on the Oslo Stock Exchange (ticker NOR). For further information, please visit: www.noreco.com.