Equinor Commences North Sea Project Ahead of Schedule, Anticipating Enhanced Oil Production
Posted 25/08/2023 12:59
Equinor, the Norwegian state-owned energy corporation, has successfully initiated production from a North Sea project off the coast of Norway, projecting a surge of 26 million barrels of oil equivalents in output from the region. This achievement comes only shortly after the Norwegian Petroleum Directorate (NPD) granted consent to the licensees of the Statfjord Øst field for the utilization of new facilities associated with a gas lift project. These facilities entail a fresh gas lift pipeline connecting the Statfjord C platform to existing subsea templates, alongside re-drilling wells to new positions, integrated with gas lift operations.
Equinor reported that the project was executed with a strong emphasis on safety and is anticipated to meet estimated expenses, despite inflationary trends and a weakened Norwegian krone. A notable aspect of this endeavor is its completion six months ahead of schedule. This project is anticipated to elevate the oil recovery rate from the field, raising it from 58 to 63 percent.
Camilla Salthe, Equinor’s Senior Vice President for Field Life eXtension (FLX), emphasized the significance of extending the lifespan of mature fields and optimizing value generation from existing infrastructure in the Norwegian continental shelf (NCS). She stated, “The project contributes to extending the life of Statfjord C to 2040. The profitability is high, and the value of increased production equals around NOK 20 billion at the current oil price. This is a good use of resources which provide ripple effects for Norwegian suppliers.”
Moreover, Equinor disclosed that two fresh wells have been drilled from pre-existing subsea templates, with three additional wells slated for drilling. As the Statfjord Øst field is linked to the Statfjord C platform, the initiative includes modifications on the Statfjord C platform and the installation of a new gas lift pipeline for subsea well operations.
Positioned in the Tampen region of the North Sea, approximately seven kilometers northeast of the Statfjord field, the Statfjord Øst field is situated at a water depth of 150-190 meters. Discovered in 1976, the development and operation plan was sanctioned in 1990. The project comprises two subsea production templates and one water injection template interconnected with the Statfjord C platform. In addition, two production wells were drilled from Statfjord C. Production from the field was initiated in 1994. The project, now operational, was endorsed by the partnership in 2020 and approved by the Ministry of Petroleum and Energy in 2021.
Ketil Rongved, Equinor’s Vice President for FLX projects, highlighted the company's proactive approach to mature fields. Equinor aims to be a premier operator of late-life fields on the NCS, necessitating innovative solutions to reduce costs while upholding quality. Rongved stated, “This is a good example of how we work with mature fields…together with our partners, we have developed simpler and faster solutions while maintaining high quality.”
The Statfjord field is located in the Tampen region of the northern part of the North Sea, straddling the boundary between the Norwegian and British sectors. The Norwegian ownership of the field stands at 85.47 percent, with a water depth of 150 meters. Discovered in 1974, the Statfjord field is developed with three production platforms: Statfjord A, Statfjord B, and Statfjord C, which was commissioned in 1985.
Equinor underscores that the Statfjord Nord, Statfjord Øst, and Sygna are three satellite fields interconnected with the Statfjord C platform. The Statfjord Øst field is equally divided between production licenses 037 in block 33/9 (Statfjord area) and 089 in block 34/7 (Snorre area).