PetroNeft reported on August 31, 2016, that its Sibkrayevskoye Well S-374 in Russia will be plugged and abandoned after the well came up dry.
The company said the well had been tested with no hydrocarbons found to be present.
The results, which were described as «disappointing» are not expected to changes plans to develop the field, the company said.
In a statement, PetroNeft said it remains a «very significant” field with «robust economics» even at today’s oil prices.
Work is currently ongoing with studies, permits and approvals to sanction the Pad 1 development of Sibkrayevskoye which is still due to commence in 2017.
The S-374 well is one of two obligatory exploration wells under the current 5-year exploration programme for Licence 61 which runs to May 2020.
Dennis Francis, CEO of PetroNeft, said: «The S-374 well at Sibkrayevskoye was a major step out well, 10km from the existing well control, which was drilled with the intention of increasing 2P reserves. While the result is disappointing, Sibkrayevskoye remains a very attractive project for PetroNeft with gross 2P reserves of 59 million bbls. Our strategy of developing this field in Q1 2017 remains on course and we are currently putting in place the necessary permits and approvals to progress this important asset.»