Norway’s Statoil has bought a stake in the UK North Sea part of the Alfa Sentral field, which expands across both the UK Continental Shelf and Norwegian Continental Shelf.
According to the Norwegian firm’s statement on Friday, Statoil paid $15 million for First Oil’s 24% equity share in the UK licence for the Alfa Sentral field.
Alfa Sentral is a c.60 mmboe gas and condensate field planned to be developed as a tie-back to the existing infrastructure for Sleipner on the Norwegian Continental Shelf (NCS), which Statoil operates. Alfa Sentral will, therefore, increase the utilisation of the Sleipner facilities, Statoil has explained.
“This transaction demonstrates the potential on both the UK and Norwegian side of the Continental Shelf. The acquisition of this Alfa Sentral licence increases the resource base and strengthens our efforts to further develop the Sleipner area towards 2030”, says Mette Halvorsen Ottøy, senior vice president for the operations south cluster in Development & Production Norway (DPN).
Through this acquisition, Statoil has taken a 24% interest in UK Continental Shelf (UKCS) licence P312 that, with licence PL046 on the NCS, comprises the Alfa Sentral field. Statoil is the operator in PL046 with a 62% holding.
Concept selection for the Alfa Sentral project was passed in September 2015. Statoil on Friday said that negotiations to unitise the field would start soon, with a final investment decision planned for late 2016. Production start-up could be expected in 2020, the Norwegian on company said.