From Houston (BN): ExxonMobil has brought the subsea tieback HADRIAN SOUTH (31/23) onstream.

Tied back 13.7km to Anadarko’s Lucius (31/23) spar, Hadrian South output is expected to reach 45,000boe/d - 8.5mcm/d and 3,000b/d of liquids - from two wells. The gas will flow to market via the 350km Keathley Canyon Connector operated by DCP Midstream Partners.

Hadrian South was discovered in 2008 in KC964 in more than 2,300m about 450km southwest of New Orleans. It was successfully appraised in 2009. Portions of Eni’s KC1007 & 1008 leases were added to the project by participation agreement among the partners, ExMob (46.7%) operates for Eni (30%) and Petrobras (23.3%). ExMob also holds a 23.3% interest in the Lucius host, which started producing in January.

Total has received UK government approval for the field development plans (FDPs) for its West of Shetland EDRADOUR-GLENLIVET (31/16) projects.

The approval of the FDPs allows Total (80%) and partner DONG (20%) to continue to develop the project according to the concepts outlined in 2014, the company said.

Edradour (206/4) is located in approximately 300m, 75km northwest of the Shetlands. The development plan consists of the conversion of the discovery well into a production well and a 16km production pipeline tied back to the main Laggan-Tormore export pipeline. It is expected to start up in the fourth quarter of 2017 and will reach a plateau of 17,000boe/d with an estimated development cost of £340m.

Glenlivet (214/30a) is in approximately 435m, 90km north-west of the Shetlands. The reservoir will be developed with two wells using a single four-slot manifold on the seabed and a 35km pipeline tied back to the Laggan-Tormore pipeflowline. The semi Sedco 714 started development drilling here in late March.

First gas is expected in the third quarter of 2018 and will reach a plateau of 21,000 boe/d with an estimated development cost of £650m.

From the North Sea (NT): Allseas’ layship Solitaire began installing the 482km 36in POLARLED (31/18) gas pipeline in the Norwegian Sea last week.

The job, which began with the pull-in of the line at the Nyhamna processing terminal, is expected to take until late August to complete. In the vicinity of the upcoming Aasta Hansteen (31/19) spar development, the water depth will reach a maximum of 1,265m, making it the world’s deepest installation of such a large diameter pipe. At Hansteen, an end-manifold will be installed for connecting the field itself and other future fields.

Statoil is operator for the development phase, on behalf of Gassco. Considerable cost reductions have been made on the original NOK25bn ($8.1bn) price for the line, it says, as lower prices have been obtained from suppliers due to synergy with other pipeline projects and strict change and cost controls, although it does not specify the new estimate.

With capacity for transporting 70mcm/d, Polarled will provide a gas export route from within the Arctic Circle. Six tees will be built into it for tying in fields along the way. This is especially needed for new developments such as Dea’s Zidane (31/18) on the Halten Bank, where the Åsgard Transport System is fully occupied until late in the decade.

When Polarled comes into operation in 2017, Gassco will become the operator both of the line and the Nyhamna terminal, which also serves the Ormen Lange (31/xx) field. Nyhamna is currently operated by Shell, the Ormen Lange operator, which is implementing a NOK5bn project to upgrade the plant in readiness for Hansteen gas.

Every operator is trying to find ways to cut spending this year, both capex and opex. Not many have come clean on exactly what they have achieved.

SUNCOR ENERGY - for those unfamiliar with this company, it absorbed or merged with Petro-Canada a number of years ago - has reported that it expects to reduce opex by $600-800mn and capex by $1bn in 2015, while cutting the workforce by 1,000.

Despite these cuts, it will continue its capital programme which includes its commitment to the ExxonMobil-led Hebron (30/24) gravity-based platform project off the east coast of Canada, while deferring what it calls ‘non-essential’ capital projects.

From Australia (RW): AWE has brought its PATEKE-4H oil producer onstream, offshore New Zealand, following the completion of the subsea tie-back to connect the well to the Tui fields in the Taranaki Basin.

It is the final stage of development for the Tui project, but was not an easy task. The well was fraught with downhole problems during drilling and required several sidetracks. It eventually came in about 200% over budget at almost A$100mn when completed in February 2014.

Last week Pateke-4H recorded an initial un-stabilised flow of 34,000b/d with a 48% water cut. AWE plans to assess optimal production rates before settling on a lower stabilised flow for long-term production. The flow will boost near-term production and cash flow without incurring additional operating costs.

The subsea tie-back project involved installation of a 1.3km flexible flowline, a gas lift umbilical and production manifold, integrated controls and ancillary equipment in water depths of 124m. The Tui complex comprises Tui, Amokura and Pateke located about 50km off North Island. The fields deliver crude to the fpso Umuroa. The fields have been producing since 2007.

AWE operates (57.5%) for NZ Oil & Gas (27.5%) and Pan Pacific Petroleum (15%).

From the North Sea (NT): Centrica is preparing to decommission the small ROSE gas field in the UK southern basin.

It aims to abandon the well, a bilateral, in the current quarter as it has a rig on contract, the jackup Paragon B391. In the process, the 34t wellhead protection structure will be removed, along with the subsea tree and wellhead. It plans to leave in situ the 9km 10in export pipeline to Perenco’s Amethyst A2D platform and the umbilical - both are trenched and buried - after cutting off and retrieving the exposed ends.

Rose came onstream in 2004 and effectively has not produced since 2010. Production was always intermittent, so it is not surprising that according to DECC figures, recovery totalled only 0.9bcm, although the pre-development estimate was 2.5bcm.

IRM-light construction specialist Harkand has picked up contracts on both sides of the pond. In UK waters, it will provide MAERSK with access to two dsvs - Harkand Da Vinci and Harkand Atlantis - for a work programme including installing structures and flexible flowlines and risers on a 12-month contract. Over in Mexican waters, it will support Swiber Offshore with sat diving services on a pipelay project under a $5mn deal. It will offer a portable sat dive system, but also has an option to use the dsv Swordfish.

Osbit Power is to build three INTERVENTION TENSION FRAMES for Helix Energy Solutions’ new well servicing monohulls Siem Helix 1 and 2 and the new semi Q7000...Fugro has picked up a five year $100mn contract to provide ROV SERVICES and specialist subsea tooling to Total Congo for the Moho Nord (31/23) development...Bibby Subsea out of Houston has ordered two WORKCLASS ROVS, rated for 3,000m, from FMC Schilling Robotics...J+S is supplying SUBSEA DISTRIBUTION UNITS to Apache for the redevelopment of its Ness-Nevis fields, subsea satellites to the Beryl complex...Wood Group has won a five-year EPCM deal with Total in the UK covering activities at the Alwyn, Dunbar, Elgin and Franklin platforms.

Offshore