Serica Energy is hoping plans to export gas from its UK North Sea Columbus (SEN, 31/7) field via a subsea tieback to the Lomond platform can now come to fruition, despite a number of setbacks in the past.
The company believes its recent completion of a deal to take an 18% stake in the Erskine (31/7) gas/gas condensate field from BP will boost its position.
A direct tieback to Lomond A, less than 8km away, is the preferred technical solution for the development of Columbus.
And work done on Lomond over the past winter to increase throughput capacity for Erskine is considered likely to improve performance and economics of the Lomond route and should pave the way for a Columbus development.
Serica said several different export routes have also been evaluated but export via Lomond is still considered the most viable option for Columbus.
It said negotiations with Lomond’s owner BG have been constructive and an indicative commercial proposal has been received which holds a ‘potential commercial solution.’
The field lies partly in Block 23/16f, operated by Serica with a 50% interest, and partly in Block 23/21 operated by BG. Columbus holds contingent resources of 5.2mboe.
Tony Craven Walker, Serica's Chairman told SEN an export solution for Columbus output had still not been settled on.
He said, ‘These are still under review and the export route (our preference is still via Lomond) is still subject to commercial discussions.
‘The purchase of an interest in Erskine gives us an interest in the transportation agreements for Erskine product streams through Lomond and therefore enhances the option of using the Lomond export route for Columbus products.
‘The field has now restarted production after a long winter shutdown and performance is expected to benefit from the major investment that has recently been made to the Lomond platform, an integral part of Erskine's export infrastructure.’
Development plans for Columbus have had a rough ride in the past. In 2013 an FDP was agreed which provided for two near horizontal production wells to be tied back to Lomond via an 8-inch pipeline to a minimum facility Bridge Linked Platform (BLP).
The BLP was to be built and installed by BG and connected to Lomond by a short bridge. However, in late March 2013, BG decided not to proceed with the installation of the BLP, leaving Serica out in the cold.
Prior to the cancellation of the BLP project, first gas from Columbus was expected in the second half of 2015 with initial production rates estimated in the FDP to be 1.68mcm/d of gas and 3,000b/d of condensate.
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