The Swedish oil and gas exploration and production company Lundin Petroleum has confirmed that its drilling operations in the UK Continental Shelf (UKCS) have led to a significant discovery within the Torphins prospect.

A statement released by the firm confirmed that the oil and gas reserves find was made on the back of a month-long drilling project at its exploration well 21/8-4Z, located in block 21/8, within the central North Sea sector.

However, the true extent of the reserves found within the Palaeocene sandstone reservoir has yet to be accurately determined, with Lundin expected to carry out a 3D seismic assessment of the site within the coming days.

The Swedish company currently owns a 40 per cent interest in the site, which will be developed with its partners, Challenger Minerals (North Sea) Ltd and Revus Energy Ltd.

The announcement comes as Lundin has also confirmed that its Morskaya-1 exploration well in the Lahansky block of the northern Caspian Sea has successfully tested at a total flow rate of 2,500 barrels of oil per day, with the company planning on carrying out two further exploration projects in the block in 2009 as it looks to concentrate on operations within Russian waters.