Lundin confirms oil discovery in Norway

Lundin Petroleum AB (Lundin Petroleum) announces that the wholly owned subsidiary Lundin Norway AS (Lundin Norway), operator of production licence 338, (PL 338) offshore Norway, has concluded the exploration well 16/1-8.

The objective was to prove petroleum in the Luno prospect in Jurassic reservoir rock. Light oil was proven in a clastic (sandstone) reservoir of this age. The size of the discovery is estimated at between 65 mmboe and 190 mmboe of recoverable oil. The potential reserves estimate only includes reserves in the Jurassic reservoir with additional upside potential from the Triassic reservoir which was penetrated by the well.

The well has not been tested but extensive acquisition of data and samples have taken place. The licencees have decided to temporarily abandon the well with a plan for future testing in conjunction with an appraisal programme.

The well was drilled to a vertical depth of 2,175 metres below the sea surface.

The well 16/1-8 was drilled using the Bredford Dolphin rig. The partners are planning appraisal activities with at least one appraisal well during 2008 to further evaluate the reservoir and its extension and prepare for a plan of development.

Lundin Petroleum is the operator of PL 338 with 50 percent interest. Partners are Revus Energy ASA with 30 percent and RWE Dea Norge AS with 20 percent interest.