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Faroe Petroleum has reported an oil and gas discovery at the Njord North Flank in the Norwegian Sea.

The well and side-track (NF-2 and NF-3) are located approximately 6km to the north of the Njord production facility.

The NF-2 exploration well 6407/7-9 S was drilled to a total depth of 4,105m below sea level.

This well encountered 102m of gross oil-bearing reservoir in Middle and Lower Jurassic sandstones of the Ile and 157m of a gross gas condensate-bearing column in Lower Jurassic sandstones in the Tilje formation.

Following these results, it was decided to drill a side-track well 6407/7-9A to test a fault-block lying to the east, which was drilled to a total depth of 4,127m below sea level.

"Dazzler will be operated by Eni and is scheduled to spud around the year-end."

The well encountered 195m of gross gas-bearing column in the Tilje Formation.

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In addition, 140m of gross gas-bearing column were encountered in Lower Jurassic sandstones in the Åre Formation. However, no hydrocarbons were encountered in the Ile Formation in NF3.

Although neither well was drill stem tested, extensive data acquisition and sampling were performed on both wells.

Based on the data acquired, a preliminary estimate of the size of the NF-2 discovery is between 1.3Mboe and 18.9Mboe for NF-2 and between 600,000boe and 9.4Mboe for side-track NF-3.

Together, these discoveries are equivalent to a range of 1.9Mboe to 28.3Mboe (140,000boe to 2.1Mboe net to Faroe). These results are in line with pre-drill estimates.

The well has now been plugged and abandoned as planned and the partners will commence work on assessing the commercial potential of the discovery.

Faroe Petroleum CEO Graham Stewart said: "We are pleased to announce this oil and gas discovery on the Njord North Flank, Faroe’s second discovery of the year, following our significant Brasse oil and gas find announced in summer, which is also located very close to infrastructure.

"This new Greater Njord Area discovery builds on Faroe’s already significant position in this core area of the Norwegian Sea and has the potential to add further value and reserves to the Njord Future Project, which is scheduled to commence in early 2017.

"The North Flank discovery has also benefited from low rig rates and hence drilling costs, which, coupled with the Norwegian exploration tax rebate, has ensured Faroe’s cost exposure was very low and maintains our low finding costs.

"We look forward to Faroe’s continuing exploration programme; next up is the high-impact exploration well on the Dazzler prospect (Faroe 20%) located in the Barents Sea. Dazzler will be operated by Eni and is scheduled to spud around year-end.”

An experienced licence operator having operated several exploration wells in Norway and the UK, Faroe Petroleum is also the production operator of the Schooner and Ketch gasfields in the UK Southern Gas Basin.

Recently, Faroe applied to be operator of two producing fields in Norway, Trym and Oselvar, which it has agreed to acquire from Dong Energy.