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    OKEA updates North Sea field studies, Draugen power scheme

    Feb. 11, 2021
    OKEA is assessing potential for a multi-greenfield development in the Norwegian Sea.
    (Courtesy OKEA)
    OKEA holds a 35% interest in Grevling and is the operator of the field.
    OKEA holds a 35% interest in Grevling and is the operator of the field.

    Offshore staff

    TRONDHEIM, Norway – OKEA is assessing potential for a multi-greenfield development in the Norwegian Sea.

    In its latest results statement, the company said that it had managed to improve the breakeven costs for its operated Grevling and Storskrymten discoveries to $40/boe, but this is still insufficient to justify a standalone project in the current market environment.

    The new plans also encompass the 30-50 MMboe Vette oil discovery in PL972, which the company will operate pending approvals for its recent agreement with present operator Repsol Norge.

    In addition, Chrysaor is due to start exploration drilling next month on the Jerv and Ilder prospects in PL973, and positive results could improve the volume basis and economics of an area-wide scheme. Both wells have options for testing and side tracks.

    Studies are also under way concerning potential carbon capture and storage for the project, part-funded by Gassnova.

    OKEA’s main producing asset is Draugen in the Norwegian Sea. Currently the company is working on plans for a tieback to the Draugen platform of the Hasselmus gas field, 7.5 km (4.6 mi) to the northwest. FEED is under way and FID should follow before mid-year, followed by first gas in 2023.

    The company is also assessing providing Draugen with power from shore, with the scheme possibly extended to include facilities within the Njord licenses via common infrastructure, with a 130-km long (81-mi) subsea cable that could be ready for operation in 2025.

    DG1 was passed in September 2020, and concept selection is due in mid-2021.

    Earlier this month OKEA restored production from Draugen’s E1 well following a temporary shut-in. Under a newly completed project, the field is now importing fuel gas from the Åsgard pipeline.

    This and associated gas production at Draugen secure the power supply and lessens the need for diesel, with positive implications in terms of production availability and reliability.

    Plans are also under way for a joint study of the regional geology and mapping of prospects between the Draugen licences (PL093) and the neighboring PL958, based on new 3D seismic data.

    OKEA is a partner to Repsol in the Yme field redevelopment in the southeastern Norwegian North Sea, which is now in the hookup and commissioning phase. The subsea storage tank, subsea flowlines and wellhead module are all in place, fully tested and ready for operation.

    Elsewhere, two production wells for the Neptune-operated P1 development project are close to completion and first production should start later this month through the Gjøa platform.

    02/11/2021