Ithaca Energy is to perform a drill stem test after discovering a potential oil supply in the Barents Sea.
The company said today an appraisal well drilled on the Norvarg discovery had found hydrocarbons in the Kobbe formation.
Now a drill stem test will be performed on the well, which was appraised in April this year, to assess the quality and volume potential of the find, on the northeast part of the Norvarg field, in the Norwegian part of the sea.
The well, located around 275km north of the LNG plant on Melkøya, is to be drilled by the Leiv Eiriksson semi-submersible rig.
Ithaca has a 13% stake in the licence for the field, along with Total, North Energy, Statoil, Det Norske and Roksource.
The company also confirmed it has been awarded licence PL535B in the latest round for the Norwegian continental shelf.
The licence is an extension of the existing one which covers the potential Norvarg discovery.