Russian state-controlled giant Rosneft has reported a minor oil find in shallow waters off Sakhalin Island after completing a first exploration well on its East Pribrezhny block in Nabil Bay in the Okhotsk Sea.
According to preliminary estimates, the extended reach well drilled from shore penetrated a reservoir with recoverable reserves of about 15 million barrels of oil.
Rosneft said that a decision to whether it will proceed into the development phase, will depend upon results of further exploration work on the block.
In January this year, Rosneft awarded a 1.1 billion rouble ($17 million) contract to international oilfield service provider Schlumberger to spud two exploration wells on the East Pribrezhny block.
The company said that it hopes to confirm recoverable reserves on the block of at least 83 million barrels of oil equivalent.
The East Pribrezhny block measures just over 56 square kilometres.
Potential development of the acreage is alleviated by existing onshore supporting pipeline and road infrastructure owned by Rosneft itself and ExxonMobil-led Sakhalin 1 consortium where the Russian oil producer is a minority partner.
