Premier Oil discovers more fuel in North Sea

8 June 2012

Posted by Neil Brunskill

Premier Oil has said it is pleased to have made a new discovery of fuel after drilling in the North Sea.

The company had drilled down to around 4,695 feet at its Carnaby exploration well when it hit oil, the quality of which is said to be comparable to that at its Catcher well.

Its announcement prompted shares at Premier to jump by more than six per cent and it could mean heating oil customers get better prices in the short term.

Chief executive Simon Lockett said: "The results from the Carnaby well will be used to calibrate the remaining exploration potential."

At the end of 2011, Premier said it was producing some 60,000 barrels of oil equivalent per day. However, it hopes to boost this to 75,000 by the end of this year.

The North Sea discovery and existing success in Asia could go some way to achieving this.

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