The present invention relates to a downhole setting tool for setting an annular sealing structure in an openhole part of a well, comprising: a tool body (5) having a tool axis, a shaft (7) having a first end and a second end, connected to the tool body at the second end, an expandable pipe (10) having a transport position in which the expandable pipe has an unexpanded diameter, and an expanded position in which the expandable pipe has an expanded diameter, an annular sealing element (11), and a pipe expansion element (12) arranged at the first end of the shaft for expanding at least the pipe, wherein the expandable pipe and the annular sealing element are arranged in succession along the tool axis in a non-overlapping manner. The tool further comprises a second expansion (14) with an inclined surface on which annular seal slides when being pushed by expansion element (12) onto the outside of the expandable pipe (10).