Vår Energi ASA Strikes Oil in Balder Area, Central North Sea

Vår Energi ASA has announced a significant oil discovery in the Balder area of the Central North Sea. The company’s latest exploration well in production license PL 956, the Ringhorne North well, was successful, with estimated recoverable resources ranging from 13 million to 23 million barrels of oil. Drilled by the semi-submersible rig Deepsea Yantai, the Ringhorne North well and two additional side-track/appraisal wells are located five miles (eight kilometers) north of the Vår Energi-operated Ringhorne field, approximately 124 miles (200 kilometers) northwest of Stavanger.

Vår Energi considers this discovery a potential commercial candidate for tie-in to nearby existing infrastructure in the Balder area. The company’s COO, Torger Rød, highlighted the success of their near-field exploration strategy and emphasized the potential for further value creation in the Balder area. Rune Oldervoll, EVP for Exploration and Production at Vår Energi, reiterated the company’s commitment to exploring for further resources, leveraging both their experienced team and the expertise of major shareholder Eni. The discovery not only unlocks new resources and extends the Ringhorne field but also de-risks additional prospects in the area and offers development synergies with other nearby Vår Energi-operated discoveries such as King-Prince and Evra-Iving.

Furthermore, the discovery supports the long-term development plans for the Balder area as a key production hub in the North Sea, contributing to Vår Energi’s goal of producing high-value, low-emission barrels for years to come. The license partners for PL 956 include Vår Energi (50%), Aker BP ASA (20%), Harbour Energy Norge AS (15%), and Sval Energi AS (15%). Vår Energi also highlighted its impressive discovery rate of over 50% in the past five years, with costs of less than $1 per barrel post-tax.