Lundin gains nod for Edvard Grieg start-up

The Norwegian Petroleum Directorate (NPD) has granted consent to start production on the Lundin Norway-operated Edvard Grieg field in production licence 338 in the North Sea.

Lundin, the operator of the licence, was also recently given consent by the Petroleum Safety Authority (PSA) Norway for the start-up and operation of Edvard Grieg platform.

The NPD said on Monday that the production start-up was scheduled in accordance with the Plan for Development and Operation (PDO).

Development costs have increased slightly, but the increase is within the uncertainty range of plus/minus 20 per cent in the PDO investment projections, the directorate added.

Edvard Grieg is located on the Utsira High, about 35 kilometres south of the Grane and Balder fields. The field was developed with a subsea production facility. The oil will be transported via pipeline (EGOP) to the Grane oil pipeline and on to the Sture Terminal north of Bergen. The gas will be transported via a separate pipeline (UHGP), which is tied-in to the transport system on the UK side (SAGE).

The NPD recently granted start-up consents for the EGOP and UHGP transport systems.

According to the NPD, when development plans for Edvard Grieg and the neighbouring field Ivar Aasen were made, it was decided that the development solutions for these fields should be coordinated. Oil and gas from Ivar Aasen will be processed on Edvard Grieg, then routed via the same transport systems. Production start-up on Ivar Aasen is scheduled for late 2016.

Edvard Grieg will supply Ivar Aasen with power. The licensees in production licence 338 are cooperating with other licensees on the Utsira High regarding a coordinated solution for power from land.

Lundin’s partners in the project are OMV Norge with 20% stake, Wintershall Norge with 15%, and Statoil with 15% stake.

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