Germany's VNG Finds More Oil, Gas off Norway

German gas company VNG has discovered an oil and gas field off Norway and found that an existing oil discovery is bigger than expected, according to a partner in the finds and the Norwegian oil directorate.

The Bue discovery, announced on Friday, is estimated to contain 6-25 million barrels of oil equivalent (boe), the directorate and Norwegian firm Rocksource (RGT.OL) said on Friday.

The existing Pil discovery, which lies nearby, is now estimated to contain 72-171 million boe, up from an estimate of 50-170 million boe in April, they added.

The partners in the discoveries, which lie in production license 586, are VNG, Rocksource, Norway's Spike Exploration and London-listed Faroe Petroleum.

Spike Exploration said the amount of hydrocarbons found would mean it was possible to develop the fields.

"With such volumes and the reservoir characteristics seen, Spike Exploration is of the opinion that Pil and Bue are commercially viable," it said in a statement.

Reporting by Gwladys Fouche