Statoil, Partners Bring Byrding Field Onstream

Statoil and its partners have started production from the Byrding Field offshore Norway.

Recoverable volumes in Byrding are estimated at 11 MMboe, and the partners have spent about $125.7 million on Byrding following a reduction from the original estimate of about $440 million.

“Good utilization of existing infrastructure has resulted in a cost-effective development that will add profitable resources to the Troll Field,” said Gunnar Nakken, senior vice president for the operations west cluster in Statoil.

Byrding is an oil and gas field, which lies north of the Troll Field in the Norwegian North Sea.

The Byrding development includes a two-branch multilateral well drilled from the existing Fram H-Nord subsea template, through which oil and gas are flowing to Troll C. The multilateral well is about 7 km (4 miles) long and is split in two branches after a few kilometers.

After processing on Troll C, the oil is routed in existing pipelines to Mongstad and the gas via Troll A to Kollsnes.

The partners in Byrding are operator Statoil (70%), Engie E&P Norge (15%) and Idemitsu Petroleum Norge (15%).

SNC-Lavalin, Dragados, Pennecon Partnership Snags White Rose Contract

Husky Energy has awarded the General Partnership (GP) of SNC-Lavalin, Dragados Canada and Pennecon Ltd. a construction contract for the West White Rose Project offshore Newfoundland and Labrador.

GP will build the concrete gravity structure for the development’s fixed drilling platform. Work is set to begin shortly and end in 2021, SNC-Lavalin said in a news release. GP said it will build the structure, which will require 76,000 sq m (818,057 sq ft) of concrete, in Argentina.

“Once completed and installed in the White Rose Field, the CGS will support a topside module to enable drilling and oil extraction 350 km (217 miles) away from the coast of Newfoundland in the Atlantic Ocean,” the release said.

SNC-Lavalin and Dragados Canada each hold 40% of the shares of GP. Pennecon Ltd. holds 20%.

Drillship Arrives For Work At Oyo Field Offshore Nigeria

The Pacific Bora drillship arrived at the deepwater Oyo Field offshore Nigeria, Erin Energy Corp. said Aug. 1.

Drilling work was scheduled to start at the Oyo-9 well within about 10 days with expectations of adding between 6,000 bbl/d and 7,000 bbl/d.

“The Pacific Bora is a highly efficient sixth generation double-hulled drillship, which the company has the option to drill up to two additional wells,” Erin Energy said in the release. “If exercised, the rig will be used to drill two of its offshore Nigeria exploration prospects in the prolific Miocene geological zone, which has been proven highly prolific in neighboring blocks.”

Engie Marks First Gas From Cygnus Bravo In North Sea

Engie E&P UK Ltd. reached a milestone with first gas being exported from the Cygnus Bravo satellite wellhead platform in its Cygnus development in the North Sea.

In a news release, the company said first gas was delivered from well B5 and exported 7 km (4 miles) to Cygnus Alpha on Aug. 2.

“Combined output then travels from the Alpha processing unit, 150 km (93 miles) off the coast of Lincolnshire, via a 55-km (34-mile) link to the Esmond Transmission System—which ultimately lands at the Bacton gas terminal in Norfolk,” Engie said Aug. 8.

The 250-sq-km (97-sq-mile) Cygnus complex comprises four platforms and two subsea structures, contributing 5% of the U.K. gas production, Engie said, noting that is enough to heat the equivalent of 1.5 million U.K. homes.

“Gas from this second drill center will contribute significantly to extending the plateau production that Cygnus Alpha has been achieving for the last eight months,” Engie CEO Maria Moraeus Hanssen said in the release.

Three more Bravo wells are set to go online in August, the company said.

Holding a 38.75% equity interest, Engie serves as operator. Partners are Centrica (48.75%) and Bayerngas (12.5%).

Maersk Sees Up To 140,000-bbl/d Potential For Iran’s South Pars Oil Field

Denmark’s Maersk Oil has estimated potential output for the second phase of Iran’s South Pars oil deposit at between 120,000 bbl/d and 140,000 bbl/d, Fars News Agency reported, citing an official at National Iranian Oil Co. (NIOC).

The estimate is part of Maersk Oil’s development study for the second development phase of the offshore oil field, said Gholamreza Manouchehri, NIOC’s vice president for engineering and development.

Maersk Oil, part of Denmark’s A.P. Moller-Maersk, declined to comment. The company signed a memorandum of understanding with NIOC in 2016 “to explore opportunities for future collaboration.”

South Pars stretches into Qatari waters where the oil-bearing layer is called Al-Shaheen and shares the same difficult geological characteristics.

Maersk Oil lost its long-standing agreement to operate Al-Shaheen in June 2016 to Total, which has just taken up operation of the field.

Expro Lands Abandonment Contract For UK North Sea Fields

Maersk Oil selected Expro to provide subsea and well test services on two offshore units in the North Sea, extending the duo’s partnership to 2020.

The services are for a 26-well campaign that spans the Janice, James, Affleck and Leadon North developments in the Central North Sea, Expro said in a news release.

The contract includes the option for two one-year extensions.

ONGC Buys Participating Interest In GSPC Block

Oil and Natural Gas Corp. Ltd. (ONGC), India’s top explorer, said on Aug. 4 it has bought an 80% participating interest and operatorship in one of Gujarat State Petroleum Corp.’s (GSPC) blocks in the Krishna Godavari Basin offshore.

GSPC will continue to hold a 10% participating interest in the block while the remaining 10% lies with GSPC’s partner Jubilant Offshore Drilling Ltd., ONGC said in an exchange filing.

ONGC said it has taken over the block against a purchase consideration of $995.3 million.

The state-run company said it has made an advance payment of $200 million to GSPC toward future consideration for six discoveries other than Deen Dayal West Field.

ONGC also intends to develop an HP/HT corridor of oil and gas in the Krishna Godavari Basin, it said.

HydraWell Secures UK P&A Deal

HydraWell has picked up a three-year frame contract from Centrica North Sea Ltd. to provide plugging and abandonment (P&A) technology and services for the operator’s “A Fields” in the southern North Sea.

The company plans to plug and abandon 23 wells. It recently submitted decommissioning plans for the A Fields development, which includes the Ann, Audrey, Alison and Annabel fields, to British authorities.

Under the contract, HydraWell said it will provide annulus integrity testing and perforation, washing and cement of annulus and inner bore through using the company’s HydraHemera high-pressure Perf, Wash & Cement, or PWC, jetting system for the P&A job.

“HydraWell’s technology enables plugging of each well in two to three days instead of 10 to 14 days with conventional section milling methods,” HydraWell CEO Mark Sørheim said in a news release. “This means that the operator could save up to 200 rig days on a 20-well field.”

The three-year agreement has two additional one-year options, according to the release. Centrica may also expand the contract to future support of other U.K. Continental Shelf assets.

Gas Production Starts At Indonesia’s BD Field

The BD gas field in the Madura Strait offshore Indonesia has started production, CNOOC Ltd. said in a news release.

Located at a water depth of about 55 m (180 ft), the field’s main production facilities include one unmanned wellhead platform, one FPSO unit and four production wells. Currently, the gas field has two wells in production, CNOOC said in the release.

The field’s gas and condensate sales production is about 7,200 boe/d. Peak production is estimated at about 25,500 boe/d in 2018.

Husky-CNOOC Madura Ltd. (HCML) is the operator of the production-sharing contract for the field, with Husky and CNOOC each holding a 40% interest. Samudra Energy holds the remaining interest.

Cox Buys Freeport-McMoRan’s Stake In GoM Fields

Cox Oil Offshore LLC said Aug. 1 it had purchased certain interests in the Gulf of Mexico (GoM) Outer Continental Shelf from Freeport-McMoRan Oil & Gas, a subsidiary of Freeport-McMoRan Inc.

The acquisition comprises Freeport-McMoRan’s interests in the Flatrock and Hurricane areas of the OCS-310 Tiger Shoal lease. The terms of the transaction were not disclosed.

Cox plans to further exploit the areas’ HP/HT wells as well as normal pressured wells, according to the Dallas-based company’s press release.

Brad E. Cox, chairman and founder of Cox Oil, said the company “believes in the enormous potential in the GoM,” which is why it is one of the few GoM operators who are expanding during the continued downturn.

“We will continue to expand the company in a way that will ensure our long-term, strategic success in the oil and gas industry with a fiscally responsible approach to acquisitions and development of our assets,” Craig Sanders, CEO of Cox Oil, said in a statement.

Cox Oil closed the transaction July 31, according to the release.

Jacobs Signs Global Enterprise Framework Agreement With Shell

Jacobs Engineering Group Inc. has signed a global enterprise framework agreement renewal with Shell Oil Co. to to provide concept, FEED, procurement, project management, construction management and construction services for Shell projects globally.

The agreement aligns with Shell’s ongoing efforts to transform the way its projects are delivered by improving capital and financial efficiencies.

“This agreement fosters fresh and innovative project delivery solutions to help meet our joint goal of increased capital efficiency and economic results,” said Gary Mandel, petroleum and chemicals president for Jacobs.

JX Nippon Agrees To Sell North Sea Oil Field Stake To Faroe

JX Nippon Oil and Gas Exploration Corp. said on July 28 that its U.K.-based subsidiary has agreed to sell a stake in a North Sea oil field to Faroe Petroleum Ltd.

JX Nippon E&P (U.K.) will sell its 17.07% interest of U.K. License P111 Block 30/3a, comprising a part of the Blane oil field, the company said in a statement.

The Blane Field had gross production of about 2,900 boe/d in 2016. Faroe is an existing partner in the U.K. license.

The move comes as part of JX’s fundamental revision of its upstream portfolio, the company said.

— Staff & Reuters Report

Offshore