The second phase of the Buzzard development in the North Sea has been fully sanctioned by partners Suncor Energy UK Ltd., Chrysaor Ltd., Dyas EOG Ltd. and Oranje-Nassau Energie Resources Ltd., according to Nexen, a CNOOC. Ltd. Co.

Nexen, operator of the Buzzard platform, announced the news Aug. 6. With the investment, FEED work finished and field development plan approved by the UK Oil and Gas Authority, the project moves into execution mode.

Plans are for the subsea development to tie back to the existing Buzzard complex with a pipeline bundle assembly incorporating pipelines, manifolds, subsea controls and chemical injection, Nexen said in a news release. The development includes a 12-slot manifold comprised of eight production slots and four water injectors. A brownfield module will be installed on the production platform for processing and export via current export pipeline routes.

“The objective of this project is to safely develop additional reserves and bring new production onstream, supporting the goal of maximizing economic recovery in the North Sea,” Nexen said in the release. Work is focused on developing the field’s northern section.

First oil is scheduled for first-quarter 2021.

Several companies have already landed contracts for the project, working based on “an incentivized, outcome-based commercial model,” Nexen said. Supply chain partners are AGR Well Management Ltd.; Baker Hughes, a GE Company; COSL Drilling Europe AS; Subsea 7 Ltd. and WorleyParsons Services UK Ltd.

In a separate statement, BHGE said it will supply oilfield equipment that includes six medium-water horizontal subsea trees, wellheads and subsea and topside control systems along with integrated drilling, evaluation completions and intervention services.

Nexen awarded Subsea 7 a contract involving project management, engineering, procurement, construction and installation of a 5-km (3-mile) pipeline bundle along with associated well and platform tie-ins, and provision of a heavy lift vessel for transport and installation of a new topside module.

Project management and detailed engineering has commenced at Subsea 7’s office in Aberdeen, Subsea 7 said. The pipeline bundle will be fabricated at Subsea 7’s Wester site near Wick, with technical support from Subsea 7’s specialist pipeline group in Glasgow. Project management and engineering for the heavy lift work scope will be conducted from Seaway Heavy Lifting’s office in Zoetermeer in the Netherlands. Offshore activities will mainly take place in 2020.

Offshore