DNO, a Norwegian oil and gas operator, has announced a significant oil discovery in license PL1086 offshore Norway marking a new play potential in the region.

DNO holds a 50% operated interest in this licence, with partners Aker BP (20%), Petoro (20%) and Source Energy (10%).

The PL1086 well found light oil in Palaeocene sandstones with good reservoir quality. This is the first time moveable oil has been encountered in the Borr unit of the Våle Formation.

Preliminary estimates suggest gross recoverable resources range between 27 and 57 million barrels of oil equivalent (mboe) on a P90-P10 basis, with a mean estimate of 41mboe.

The well targeted two exploration prospects: the deeper Falstaff, where no reservoir was found, and the shallower Othello, which revealed a 16m net oil-bearing reservoir.

The discovery was confirmed through a sidetrack, marking the second new play proven by DNO in Norway, following last year's Norma discovery.

The PL1086 well and sidetrack were drilled by the Noble Invincible jackup, which will now move to drill a production well on the Tambar East oilfield, where DNO holds a 37.8% interest.

Othello's discovery is significant as it found oil east in the basin, an area previously thought to have high migration risk.

This region, often referred to as 'the dry belt', has seen limited exploration interest.

DNO and its partners are considering connecting the discovery to existing infrastructure like the ConocoPhillips Ekofisk hub and Aker BP's Valhall hub.

Furthermore, licensees of PL1085, including DNO (25%), Aker BP (55% and operator) and Petoro (20%), are evaluating the development of the 2022 Overly discovery.

This development could be tied back to Aker BP’s Valhall hub, based on recent studies that increased estimates of recoverable resources.

Additionally, the 2026 Sunndal exploration well is planned for drilling in PL1171 by DNO (50%) and Aker BP (50% and operator).