Norwegian E&P player Aker BP has sold a part of its 100% interest in the Storklakken discovery in the North Sea to PGNiG Upstream Norway, a Norwegian subsidiary of the Polish oil company PGNiG.
Aker BP plans to submit the Plan for Development and Operation of the Storklakken discovery to the Norwegian Ministry of Petroleum and Energy this year. The field is expected to be developed as a subsea tie-back to the Alvheim FPSO with the production start-up in 2020.
According to a Thursday statement by PGNiG, this transaction with Aker BP is a part of implementation of the company’s strategy, which will allow an increase of hydrocarbon production outside Poland.
The transaction involves 35% working interest in the license PL460 in the North Sea. The remaining 65% is owned by Aker BP who is also the operator of the license. The license is located in direct vicinity of the Vilje field, where PGNiG holds 24.243%. It includes the Storklakken oil field which was discovered in 2010 by Aker BP.
According to the operator, recoverable reserves attributable to PGNiG Upstream Norway’s interests amount to 3.85 million boe (barrels of oil equivalent).
Piotr Woźniak, President of the Management Board of PGNiG, commented: “The transaction is another proof of our commitment to increase production from Norway. Besides, we are happy to extend our cooperation with Aker BP that is already an operator of our two largest producing fields.”
Woźniak also added the company expects short payback period from this investment.
Transaction and future investments in Storklakken will be funded from the operating cash flow of PGNiG’s Norwegian operations, the company said.
With its strategy that entails acquisition of new assets in Norway, which offer good profitability with low risk exposure, PGNiG is looking to create basis for future gas supplies to Poland.