Talisman Energy reports significant oil at Hai Su Trang well off Vietnam

Talisman Energy Inc., one day after shedding assets in the North Sea, has reported "significant oil rates" at the Hai Su Trang exploration well off Vietnam.

Photo: Talisman Energy reports significant oil at Hai Su Trang well off Vietnam

Talisman said Wednesday its Vietnamese unit drilled the well, 80 kilometers (130 miles) east of the Vietnamese coast, to a depth of 3,319 meters (10,886 feet), and it tested at a rate of 14,863 barrels per day.

"These are great results from our first exploration well on the block," Talisman CEO Jim Buckee said.

"Access to high-quality acreage, which has previously only seen the first round of exploration, has allowed Talisman to develop and prove new and attractive play concepts. This block's shallow-water environment should allow us to move quickly and to manage development costs," he said.

The Thang Long joint venture held 60 percent by Talisman and 40 percent by state-owned PetroVietnam Exploration and Production Co. plans three new exploration wells this year to evaluate the area of the discovery, reports AP.

On Tuesday, the Canadian oil and gas company, which has business operations around the world, said it had agreed to sell some of its holdings in the British North Sea for US$550 million (Ђ426 million) as it focuses on more promising developments.

The "high-quality ... but non-strategic" Brae assets were sold to a unit of Abu Dhabi National Energy Co., while Talisman works on "exciting and profitable growth opportunities elsewhere in the North Sea, with 10 subsea developments underway," a company release said.