Maersk Oil UK confirms Culzean gas discovery

10 March 2011

Maersk Oil announced today that the appraisal well 22/25a-10z in the high pressure high temperature (HPHT) Culzean discovery has confirmed the presence of a significant hydrocarbon accumulation.

The Maersk Oil operated well was drilled in the UK sector of the Central North Sea approximately 145 kilometres East of Aberdeen to verify the extension of the original Culzean discovery well (22/25a -9z), announced in 2008.

Gas and condensate has been confirmed at an average depth of approximately 4.5 km, within the target reservoirs of Triassic and Jurassic age. The well has been tested in two intervals and delivered a rig constrained rate of nearly 40 million cubic feet of gas in addition to 900 barrels of condensate per day in each interval.

“The production test shows that the Culzean discovery has the potential to be one of the most promising HPHT discoveries in the UK sector in recent years. Looking forward, Culzean will be a key project in Maersk Oil’s long term growth plan for its UK activities”, said Martin Rune Pedersen, Maersk Oil UK Managing Director.

Maersk Oil and its partners have agreed to a further appraisal programme which includes a sidetrack well down flank to the east of the appraisal well to assess the full extent of the field. The results of this sidetrack well are expected in summer 2011 after which a further appraisal well will be drilled.

Maersk Oil as operator holds a 49.99% interest in Culzean, with partners JX Nippon UK (17.06%) Eni UK (16.95%) and BP (16.00%).

About Maersk Oil UK
Maersk Oil has built its business in the UK around the acquisition of Kerr McGee’s assets in 2005 in the UK North Sea and North Atlantic. Since then Maersk Oil has expanded and has an interest in 14 producing fields, operating seven of those. Maersk Oil’s current share of production is about 50,000 barrels of oil equivalent per day. Maersk Oil holds varying interests in over 50 exploration licences, about half of which it operates. Development plans are expected in 2011 for the Golden Eagle, Hobby and Pink fields, as well as for the Flyndre area.

About Maersk Oil Maersk Oil is an international oil and gas company with operated production of about 700,000 barrels of oil equivalent a day from fields in the Danish and UK North Sea, offshore Qatar and in Kazakhstan. Maersk Oil exploration activities are ongoing offshore UK, Denmark Norway, Angola, Brazil, the US Gulf of Mexico, Greenland and onshore Oman. Maersk Oil and its subsidiary companies are part of the Danish A.P. Moller – Maersk Group. Maersk Oil was established in 1962, when it was awarded a concession for oil and gas exploration and production in Denmark. For more information, visit our website at www.maerskoil.com.

Maersk Oil, press release