LONDON (ShareCast) - (ShareCast News) - Jersey Oil & Gas has discovered oil as part of side-track drilling activity at a North Sea well over the weekend, claiming an estimated 25-130m barrels of oil equivalent
The oil discovery was made in the Verbier sidetrack well, with the AIM-listed company confirming the presence of oil in the Verbier licence area, of which it holds an 18% working interest.

Initial estimates of gross recoverable resources for the Verbier discovery are for 25-130m barrels of oil equivalent, with a minimum proven recoverable volume in the immediate vicinity of the wellbore of 25m barrels of oil equivalent.

The well showed hydrocarbon accumulation in "good quality sands" which was found up-dip of the water-bearing sands encountered in the initial well.

Evaluation of the well results alongside existing 3D seismic data is ongoing, the company said.

Andrew Benitz, CEO of Jersey Oil & Gas, was naturally delighted. "The well has achieved its objective by encountering good quality, hydrocarbon-bearing sands, up dip from the initial well with the results exceeding pre drill expectations for the sidetrack."

For her part, Jenny Morris, UK vice president for exploration of operator Statoil, commented: "The results show that we made the right decision to sidetrack the well and this discovery proves that there could be significant remaining potential in this mature basin... we are convinced of the remaining, high-value potential on the UK continental shelf and the Verbier result certainly gives us the confidence and determination to continue our exploration efforts."

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