Norway: Statoil, Partners Decide to Develop Vilje South

Norway: Statoil, Partners to Decide to Develop Vilje South

Statoil announced today that it has, together with its partners, taken the investment decision to develop Vilje South, an extension to the main field included in its original plan for development and operation (PDO). An oil producer, Vilje is situated just to the north of Heimdal in the northern part of Norway’s North Sea sector.

The well planned for Vilje South will represent the third producer in this development, and is intended to secure optimum drainage of its resources.

This project is the smallest in Statoil’s fast-track portfolio so far. Together with its partners and the government, the group has ensured swift decision-making and early delivery of long-lead-time equipment.

The development comprises a standard subsea template with a single well, tied back for processing to Marathon’s existing Alvheim field via a 19-kilometre flowline and umbilicals.

Because this solution builds further on an existing subsea infrastructure, no modifications will be required on the parent platform.

The template is under construction by Aker for installation in the summer season of 2013, together with the rest of the subsea equipment.

Drilling work is planned in two stages, starting in the spring of 2013 with completion that same autumn. The partners, Marathon Petroleum Norge 49.9%, Statoil (operator) 28.5%, Total E&P Norge 24.24%., plan is to bring the project on stream in late 2013.

Recoverable reserves in Vilje South are estimated at 7.6 million barrels of oil equivalent, mainly in the form of crude.

Net oil production from the Vilje South well in 2014 is expected to be about 5,000 barrels per day, with total investment in money of the day put at NOK 1.1 billion.

“This is our sixth fast-track investment decision in 2011,” says Halfdan Knudsen, head of such projects in Statoil’s field development business cluster for Norway.

“That leaves only one more of these projects due to be decided upon before the end of the year, namely Visund North.”

Both the Snorre B template and Mikkel South have been removed from the fast-track portfolio, the first because of adjustments to Snorre 2040 and the area as a whole, and the other to await capacity in the Åsgard Transport gas pipeline.

New projects added to the portfolio are Fram H North and Svalin C, Knudsen reports.

“Plans call for the first five fast-track projects to be brought on stream by the end of 2012 or in early 2013,” he says.

Offshore Energy Today Staff , November 24, 2011; Image: Marathon Petroleum Norge

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