Puffin-8 is the second development well targeting the main Puffin North East structure (NE1) at the company’s 100%-owned Puffin field.

The subsea location of the well is 310m south of Puffin-7 and is again planned as a horizontal well, reaching the reservoir at about 2045m true vertical depth.

AED said the horizontal section would be a minimum of about 250m and the well is expected to reach a minimum measured depth of at least 2920m rotary table (RT), with a maximum of about 3800m RT.

The company said after completing the well, a short flow test will follow to ensure well integrity.

Drilling and completion of the well is estimated to be 42 days, with an anticipated completion date of March 29.

Oil production from Puffin is expected to start by mid-2007 using a floating production, storage and offtake vessel. First oil will be from Puffin North East, with initial flow rates of 18,000 barrels of oil a day. But AED has preciously suggested that production could increase to 30,000bopd if a further development well was drilled into the reservoir.

Puffin is in the Vulcan Sub-basin, a graben on the northwestern flank of the Bonaparte Basin.