Statoil announces that the Mdalasini-1 exploration well has resulted in a new natural gas discovery offshore Tanzania

The discovery of an additional 1.0-1.8 trillion cubic feet (tcf*) of natural gas in place in the Mdalasini-1 well, brings the total of in-place volumes up to approximately 22 tcf in Block 2.

The Mdalasini-1 discovery is located at a 2,296-metre water depth at the southernmost edge of the block. The new gas discovery has been made in Tertiary and Cretaceous sandstones.

"The Mdalasini-1 discovery marks the completion of the first phase of an efficient and successful multi-well exploration program offshore Tanzania," says Nick Maden, senior vice president for Statoil's exploration activities in the Western Hemisphere.

"Since the start of the program in February 2012, we have drilled 13 wells and made eight discoveries, including Mdalasini-1. We still see prospectivity in the area, but after appraising the Tangawizi-1 high-impact discovery, which was made in March 2013, there will be a pause in the drilling to evaluate the next steps and to mature new prospects," adds Maden.

Statoil has drilled the Mdalasini-1 well with a 100% working interest. Previously Statoil and co-venturer ExxonMobil have made seven discoveries in Block 2, including the five high-impact gas discoveries Zafarani-1, Lavani-1, Tangawizi-1, Mronge-1 and Piri-1, as well as the discoveries in Lavani-2 and Gilligiliani-1.

Statoil operates the license on Block 2 on behalf of Tanzania Petroleum Development Corporation (TPDC) and has a 65% working interest.

ExxonMobil Exploration and Production Tanzania Limited holds the remaining 35%. TPDC has the right to a 10% working interest in case of a development phase. Statoil has been in Tanzania since 2007, when it was awarded the operatorship for Block 2.

(*1 Tcf =180 million barrels of oil equivalent)