Faroe Petroleum has failed to find oil within the exploration well on its Portrush play in the Norwegian North Sea.
The independent oil and gas company, focusing mainly on opportunities in Norway and the UK, has a 20% stake in exploration well 6407/10-5.
No hydrocarbons were encountered the well will be permanently plugged and abandoned.
The well was the first exploration well to be drilled in production licence PL793, awarded in January 2015 (APA 2014) and is located in the Grimsan Basin, Haltenbanken, approximately 20km south west of the Draugen field and less than 10km south east of the Njord field.
The well was drilled ahead of schedule using the drilling facility Transocean Barents and operated by AS Norske Shell.
Chief executive Graham Stewart, said: “Whilst the results of this well are disappointing, we were fortunate in that we have been able to take advantage of reduced rig rates and associated drilling costs, which coupled with the Norwegian tax rebate system, realised a significantly lower well cost, net to Faroe.”
Stewart said drilling operations are continuing on the Pil/Bue follow-up programme targeting upside in the Boomerang and Blink wells. Pil and Bue were significant discoveries announced in 2014, located in the same licence.
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