BW Energy has confirmed a "substantial" oil discovery in the Hibiscus area offshore Gabon, following completion of the DHIBM-7P pilot well drilling and logging.

The oil discovery with good reservoir quality is expected to significantly enhance the region's oil reserves.

As per the company’s preliminary evaluation, the discovery could increase mid-case gross recoverable reserves by around 8–12mbbl of oil.

BW Energy plans to finalise the well as a development well in 2024.

DHIBM-7P was drilled to a total depth of 3,941m from the MaBoMo production platform.

The pilot well, located around 1.5km north-northwest of the MaBoMo platform, has been drilled using the Borr Norve jack-up rig.

Following the drilling, the well encountered a hydrocarbon column that extends across the boundary between the Gamba and the underlying Dentale formation.

This marks the first instance of a common Gamba-Dentale hydrocarbon accumulation in the Hibiscus Field.

BW Energy is currently focusing on completing the development well (DHBSM-2H) in the northern flank of the Hibiscus South field, following its recent successful appraisal.

Last month, BW Group announced corporate restructuring whereby its oil and gas exploration business, BW Energy, become a stand-alone entity. 

BW Group owns 191.9 million shares in BW Energy, equating to 74.38% of the total issued and outstanding shares and voting rights.

The shares currently held by BW Group, under the control of BW Group and BW Energy Holdings chairman Andreas Sohmen-Pao through a trust, are due to be transferred to BW Energy Holdings.