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Oil major Total makes major offshore UK gas discovery

Published 24/09/2018, 09:02
© Reuters. The logo of French oil giant Total is pictured on the facade of a building in Paris
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PARIS (Reuters) - French oil and energy group Total (PA:TOTF) said on Monday it had made a major gas discovery on the Glendronach prospect, located off the coast of the Shetland islands in the North Sea.

Total said preliminary tests on the new gas discovery confirmed good reservoir quality, permeability and well production deliverability, with recoverable resources estimated at about one trillion cubic feet (1 tcf).

It said Glendronach, located near its Edradour field, will be tied back to the existing infrastructure and developed quickly and at low cost.

Total said the discovery will extend the life of the West of Shetland infrastructure and production hub which includes the Laggan, Tormore, Edradour & Glenlivet fields, as well as the Shetland Gas plant, all of which contribute to about 7 percent of the UK gas consumption.

"Glendronach is a significant discovery for Total which gives us access to additional gas resources in one of our core areas and validates our exploration strategy," Arnaud Breuillac, President of Total's Exploration & Production division, said in a statement.

Total added that the well was drilled to a final depth of 4,312 meters and encountered a gas column of 42 meters of net pay in a high quality 'Lower Cretaceous' reservoir.

Total has a 60 percent stake in Glendronach, while Ineos E&P UK Ltd and SSE (L:SSE) E&P UK Limited each hold 20 percent stakes.

© Reuters. The logo of French oil giant Total is pictured on the facade of a building in Paris

Total shares were up 0.8 percent in early Monday trading.

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