Statoil’s exploration efforts around the suspended Johan Castberg project have come up short.
Despite an oil find in the latest well, the campaign has yet to return desirable volumes.
“We are certainly glad to have an oil discovery in Drivis. However, the exploration programme as a whole has not delivered on volume expectations. Out of the five wells drilled only two have resulted in oil discoveries,” said Irene Rummelhoff, Statoil senior vice president for exploration on the Norwegian continental shelf.
The $15.5billion development was suspended last year after an oil tax hike and rising costs made it too expensive to pursue. The firm originally said it would look for new resources to substantiate the increased costs.
However, Statoil will to decide later this year whether it will continue with the project.