Neptune Starts Norwegian Drilling

UK explorer Neptune Energy has started drilling the Dugong exploration well in the Norwegian sector of the North Sea, the operator and 40% owner said June 18. This is its first operated exploration well in the northern North Sea since a wildcat well made the Duva oil and gas discovery in 2016. Norway's tax regime encourages exploration drilling.

Neptune said a discovery in Dugong could open up new and exciting opportunities in surrounding licences, making it an important well in establishing a new core area for Neptune in Norway. “This activity underlines the importance of the region to Neptune’s geographically-diverse portfolio.” 

Dugong is 158 km west of Floro, Norway, at a water depth of 330 metres, and is close to the existing production facilities of the Snorre field. The reservoir lies that a depth of 3,250-3,400 metres. 

The drilling program comprises a main bore with a down-dip side track, subject to the results of the main bore. Dugong will be drilled by the Deepsea Yantai, a new semi-submersible rig, owned by CIMC and operated by Odfjell Drilling. 

Neptune's partners are Concedo (20%), Petrolia NOCO (20%), and Idemitsu (20%).