Statoil said it plans to make a final investment decision regarding the Arctic Johan Castberg oil field toward the end of 2017.

The development is estimated to cost about $5.78 billion. Statoil said it plans to invest about $135.73 million per year to operate the field, which is scheduled to come onstream in 2022 and operate for about 30 years. The operation will be supported by a supply and helicopter base in Hammerfest and an operations organization in Harstad.

Johan Castberg is believed to hold between an estimated 450 MMboe and 650 MMboe.

Statoil has a 50% stake in the development, while Eni holds 30% and Norwegian state firm Petoro holds 20%.