The discovery is in the company's Novus prospect.
"The well confirms the robustness of our geophysical model and the team's ability, and there is real potential for Novus to have future commercial value in combination with a discovery from one of the identified and de-risked prospects ... in the immediate vicinity," Stewart said.
Faroe, calling the well "small," estimated the size of the discovery at 6 million to 15 million barrels of oil equivalent.
The company said it's unlikely Novus by itself will have commercial prospects but it's located near the Heirdun oil field in the region, an asset operated by Norwegian oil company Statoil.
Statoil says Heirdun, discovered in 1985, had delivered more than 800 million barrels of oil as of Aug. 7.