BG Group today announced a gas discovery in Block 47/15b - "Rose R2" - in the Southern North Sea. BG is the operator and has a 60% interest in the Block, with Amerada Hess holding 40%.

The discovery lies within the Leman Sandstone play fairway 55 kilometres east of the Easington Terminal and eight kilometres north-east of the Amethyst field.

During testing, the well flowed at a maximum sand free rate of 30 million standard cubic feet per day of natural gas and 90 barrels per day of condensate on a 68/64th inch choke. These rates were constrained by the limits of the testing equipment. Further studies are needed to fully evaluate the discovery.

In 1998 BG drilled the first discovery well in Block 47/15b, which tested the "Rose East" prospect with deviated well 47/10-6. The well flowed natural gas at 27.3 million standard cubic feet per day.

Notes to Editors

BG Group is a significant holder of hydrocarbon reserves on the UK Continental Shelf, where it also operates the Blake, Armada and Easington Catchment Area fields. It also recently announced a significant oil discovery in the "Buzzard" prospect. BG is involved in gas and oil developments in some 20 countries worldwide, including Kazakhstan, Bolivia, Egypt and Trinidad.