This is a huge amount of oil. Hurricane have been increasing their estimates from 600 million to 2 billion and now to 8 billion in just one month. Essentially what has happended is that exploratory drilling has reveal that four already large fields, some parts as much as 35km apart, seem to be part of one massive column of oil.
Also it’s going to be relatively easy and efficent getting the oil out as the geology is familiar, fractured and the same across the area, so amenable to current techniques, with almost zero likelihood of getting water out rather than oil.
Here’s a quote from Energy Voice today:
‘In fact the industry is very, very interested and I must say that attitudes have changed dramatically with the results from Lincoln and results of the ‘four’ well. There appears to be general acceptance that there is a large oil column at Lancaster and there is oil beyond the Lancaster boundary. The potential of producing water is low to zero…..Add to all this stock market investor boards chit-chat speculating that Hurricane might even have discovered at least 8billion barrels with its four exploration successes … Lancaster and Halifax, Lincoln and Whirlwind … and we have exciting times on the UK Atlantic Frontier.’
Hurricane is quite a small company but this discovery is a game changer for thinking about West of Shetland.The article goes on to suggest that Hurricane may have embarrassed the markets in Aberdeen and London not to mention having an embrrassment of riches for themselves to exploit.
Once more, we need to make sure the taxes come to a new Scottish Treasury before it’s too late.