North Sea oil firm Lundin Petroleum has come up dry in its latest appraisal work of the Luno II discovery.
The Swedish firm had been looking to find an extension to the field, which is thought to contain up to 120million barrels of oil equivalent.
But drilling by the Bredford Dolphin of the latest appraisal well on the site found poor quality oil reserves.
The company is now set to focus on the central part of the field, where it hopes to confirm the find – near the Edvard Grieg field – is commercially viable.
“It appears that this well has been drilled into a separate sub-basin with poor reservoir quality,” said chief executive Ashley Heppenstall.
“These results should have no impact on the risk associated with the next appraisal well in Luno II central which, if successful, is likely to confirm Luno II as a commercial discovery”.
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