The U.K. government has given BP approval to proceed with the Vorlich development in the central North Sea, BP said in a news release.

The $262 million development is targeting 30 million barrels of oil equivalent and expected to produce 20,000 barrels gross a day at peak, the company said. The two-well subsea development will be tied back to the Ithaca Energy-operated FPF-1 floating production facility in Greater Stella Area production hub, BP said.

“Ithaca is delivering both the subsea and topside facilities for the Vorlich project as an extension of a larger development program they already have in train for the Greater Stella Area,” BP project manager Stuart Johnstone said in the release. “As a result, we are benefitting from mature, existing Ithaca contracts, an established high-performing project team and lessons learned from other parts of their Stella program.

“BP is bringing efficiencies from our global wells organization and our depth of reservoir development expertise,” Johnstone added. “We have also merged traditionally separate stage-gates in our project development cycle to speed up delivery.”

Offshore construction for Vorlich is expected to start in 2019 with the field coming onstream in 2020. Ithaca has a 34% interest in Vorlich.

Offshore