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Equinor ASA EQNR has hit a dry spell in its latest North Sea exploration efforts. Two wells drilled with Odfjell Drilling’s Deepsea Stavanger semi-submersible rig off the coast of Norway failed to uncover hydrocarbons. These wildcat wells, identified as 35/10-14 S and 35/10-14 A, also known as the Kvernbit/Mimung, marked the first exploratory activities within production license 1185, awarded in 2023.
Equinor, holding a 40% stake in the license, operates it alongside partners Vår Energi, Sval Energi and Aker BP, each holding a 20% share. The drilling aimed to target petroleum in Upper and Middle Jurassic reservoirs in the Kvernbit and Mimung prospects, as well as in the Lower Jurassic Cook Formation. Despite extensive data acquisition and core sampling, reservoir properties in the drilled formations proved poor.
The well 35/10-14 S, drilled to depths of 4,885 meters vertically and 4,925 meters measured, terminated in the Johansen Formation. It encountered over 80 meters of sandstone in the primary exploration target but with subpar reservoir quality. The secondary target, the Cook Formation, also revealed 77 meters of sandstone layers with poor properties.
Similarly, well 35/10-14 A, drilled to depths of 4,275 meters vertically and 4,710 meters measured, terminated in the Rannoch Formation of the Mid Jurassic. It encountered 163 meters of sandstone across multiple formations, including the Tarbert, Ness, Etive and Rannoch, but reservoir quality remained disappointing.
While these results were a setback for Equinor, the company recently succeeded in the Norwegian North Sea, uncovering oil and gas in a region known for prior commercial discoveries. This success came with the assistance of another rig from Odfjell Drilling’s fleet, offering a silver lining to the energy giant’s ongoing exploration endeavors.
EQNR’s Zacks Rank & Key Picks
EQNR currently carries a Zacks Rank #3 (Hold).
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