Hurricane Energy PLC (LON:HUR) announced Monday that it discovered the “largest undeveloped (oil) filed” in the United Kingdom.
In a statement, the UK-based oil and gas said that it completed operations on the 205/23-3A well, the Halifax Well. It confirmed that “the well is an oil discovery with initial data analysis indicating Halifax is linked to the Lancaster field forming a single large hydrocarbon accumulation.”
“This is a highly significant moment for Hurricane and I am delighted that the Halifax Well results support the company’s view that its substantial Lancaster discovery has been extended to include the Halifax license,” Hurricane Energy CEO Robert Trice said in the statement.
“We believe that the GLA is a single hydrocarbon accumulation, making it the largest undeveloped discovery on the UK Continental Shelf,” Robert added.
According to Hurricane Energy, the principal purpose of the Halifax Well was to support its view that the Lancaster Field and the Halifax prospect are one large connected structure. And well results support the company’s opinion.
“The Halifax Well has successfully identified an extensive oil column, significantly below local structural closure. The reservoir interval encountered is pervasively fractured with porosities similar to those at Lancaster,” the company said.
Hurricane Energy believes that the deeper oil down to (ODT) at 1,846m true vertical depth subsea (TVDSS) identified in the Halifax Well – compared with an oil water contact (OWC) at Lancaster at 1,678m TVDSS – is most likely caused by a tilted OWC.
Following discussions with the Oil & Gas Authority, Hurricane Energy has suspended the Halifax Well to allow for potential future operations to either deepen and/or undertake further testing of the well. The program will be determined following analysis of the well results, the company said.
Local media is reporting that Hurricane Energy needs to raise about $400 million to develop the project and aims to start producing oil from the field in 2019, CNBC reported.
Hurricane Energy Stock
Hurricane Energy PLC (LON:HUR) is engaged in the exploration of oil and gas reserves principally on the United Kingdom Continental Shelf.
Following the announcement, shares of the oil and gas company rose more than 7% on Monday. Investors seem to be happy with Hurricane Energy’s performance as the company’s stock is up 15.43% for the year. Shares have gained more than 374% during the last 12 months.