FAROE Petroleum has said that the Lagavulin oil prospect, around 100 miles north of Shetland, is to be abandoned after not sufficient enough oil was found.
The exploration well in the Chevron operated prospect was drilled in 1,567 metres of water and had reached its target depth on 10 June after a nine-month operation.
The Lagavulin prospect made the national headlines last autumn when Greenpeace campaigners protested against deepwater drilling by occupying the drillship Stena Carron for several days while anchored at Lerwick Harbour.
Later, the environmental campaigners followed the huge vessel on her way to the Lagavulin prospect where their protest delayed the start of the exploration for several days.
On Monday, Faroe Petroleum said that although oil had been present no workable reservoir system was found. The well will now be plugged and abandoned.
Faroe Petroleum chief executive Graham Stewart said the results of the Lagavulin exploration well would advance the understanding of the geology in the Atlantic Margin region.
“Lagavulin was a true high risk frontier exploration well, offering material upside in a success case. Whilst the outcome of the well is a disappointment, the presence of hydrocarbons has however now been proven and offers encouragement to continue our deep water exploration plans in the region.
“From an operational standpoint, Lagavulin was a deep and complex well, with no neighbouring drilling history, and it was drilled safely by the partnership led by Chevron.
“A great deal has been learned from this well, which will serve to significantly reduce the cost of any future wells in the region.
“As we now proceed to analyse the data from the well, our exploration programme continues on apace through 2011 and beyond, as we test our considerable portfolio, which currently has a 17 well, fully funded programme, offering very material upside potential.”
Drilling on the first of those expected wells, Fulla, close to the producing Clair oil field, will commence this month, while an exploration well at the North Uist prospect is now expected to be drilled in early 2012.
Become a supporter of Shetland News
Shetland News is asking its many readers to consider start paying for their dose of the latest local news delivered straight to their PC, tablet or mobile phone.
Journalism comes at a price and because that price is not being paid in today’s rapidly changing media world, most publishers - national and local - struggle financially despite very healthy audience figures.
Most online publishers have started charging for access to their websites, others have chosen a different route. Shetland News currently has over 590 supporters who are all making small voluntary financial contributions. All funds go towards covering our cost and improving the service further.
Your contribution will ensure Shetland News can: -
- Bring you the headlines as they happen;
- Stay editorially independent;
- Give a voice to the community;
- Grow site traffic further;
- Research and publish more in-depth news, including more Shetland Lives features.
If you appreciate what we do and feel strongly about impartial local journalism, then please become a supporter of Shetland News by either making a single payment or monthly subscription.
Support us from as little as £3 per month – it only takes a minute to sign up. Thank you.