Processing amended plan for development and operation of Gullfaks

01/07/2015 The Norwegian Petroleum Directorate has received an amended plan for development and operation (PDO) of the Gullfaks field in the North Sea.

The plan addresses further production from reservoirs in the main field and the first phase of the development of the Shetland and Lista formations. Until 2013, the prevailing understanding was that reservoir quality in Shetland/Lista was inadequate for producing the resources, but new information has shown that the oil is recoverable nevertheless.

The plan includes measures in existing wells in order to produce the reserves in Shetland/Lista. The Gullfaks main reservoir has a considerable need for new wells and well measures. Since the capacity for drilling and well intervention is shared for the main reservoir and Shetland/Lista, it is important to ensure sound prioritisation of slots and rig capacity in order to maximise value creation for Gullfaks as a whole. In a later phase, it will be relevant to drill additional wells to Shetland/Lista. No new infrastructure will be constructed.

It is important for the NPD that the development of Shetland/Lista be viewed in the context of the Gullfaks main reservoir, since they will be produced from the same facilities. On this basis, the authorities asked the Gullfaks licensees in February 2015 to submit an amended PDO for the field.

“Development of Shetland/Lista will provide a positive contribution to oil recovery on Gullfaks. The NPD has pointed out the need for an amended PDO which ensures comprehensive recovery of hydrocarbons from the Gullfaks field. We are concerned with long-term resource management, and ensuring that prioritisation leads to maximum value creation,” says Ingrid Sølvberg, Director of Development and Operations.

The recoverable reserves in Shetland/Lista phase 1 have been estimated at 2.9 million standard cubic metres of oil equivalents. Investments totalling NOK 900 million are projected for this phase.

The licensees in the production licence are Statoil (operator, 51 per cent), Petoro (30 per cent) and OMV (19 per cent).

Updated: 01/07/2015

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