North Sea cheer for Faroe
Article Date: Oct 03 2008Faroe Petroleum says the East Breagh exploration well in the southern North Sea has yielded encouraging gas shows.
The Aberdeen-based company has 20 per cent of East Breagh, whose operator is Calgary oil group Sterling Resources. According to AIM-quoted Faroe, recent drilling detected gas and sand at a depth of 7,500 feet and obtained gas shows of up to 20 per cent.
Chief executive Graham Stewart declares this success ‘our second successful well in the Breagh area’, and says it will provide ‘key data for assessing the economic viability of the Breagh gas field’. Shares in Faroe, which rose from 88p to 209.5p between January 2007 and last May, have fallen since, after disappointment at the company’s Yoda well and now trade at l19p.
They are speculative.
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