(Alliance News) - Premier Oil PLC said on Thursday it is "delighted" with the result from drilling at the Tolmount East well in the UK North Sea.
Premier drilled the well, in the UK southern gas basin, targeting 220 billion cubic feet of resources four kilometres east of the Tolmount gas field, which holds 500 billion cubic feet of gas.
The well penetrated 241 feet of gas, Premier said, with the quality and thickness of reservoir sands at the upper end of expectations. No gas water was found.
Premier has taken a 216 feet core, and well data will now be integrated into a new 3D seismic dataset for Tolmount East, which is part of the Greater Tolmount Area.
Chief Executive Tony Durrant said: "We are delighted by the Tolmount East result, the development of which will add significant value to our UK portfolio.
"Elsewhere in the Greater Tolmount Area, we are making excellent progress with our sanctioned Tolmount development which remains on schedule for first gas by the end of next year and will add a net 20,000 to 25,000 barrels of oil equivalent per day to group production."
Shares were up 3.1% early on Thursday at a price of 83.04 pence each.
By George Collard; georgecollard@alliancenews.com
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