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Statoil Skrugard and Havis oil discoveries justify feasibility studies

Statoil, ENI and Petoro expect more to come from Skrugard and Havis exploration

The Skrugard and Havis fields are located 5 kilometers from each other at a vertical depth of 1740 meters below sea level at a water depth of 388 meters in the PL532 licence area which was awarded in 2009 in connection with the 20th licensing round.

The share of interests is split between: 

Statoil 50% and acting as the operator

 – ENI 30%

 – Petoro 20%

In less than a year, Statoil made two substantial oil discoveries in PL532, proving 400-600 million barrels of recoverable oil.

Successful appraisal well on Skrugard and Havis confirmed volume estimates and collecting data for field development planning

Statoil, together with its partners Eni and Petoro, has established a plan for further exploration drilling in the Skrugard and Havis area of the Barents Sea

The exploration campaign will comprise four new prospects and is scheduled to commence late 2012.

The drilling campaign will start in PL532 with the Nunatak prospect due to be spud in December this year, then in the Skavl prospect and thereafter to the Iskrystall prospect.

The fourth prospect to be drilled will be announced at a later stage.

Statoil’s ambition is to complete drilling of all four prospects by late spring/early summer 2013.

With the Skrugard and Havis discoveries, Statoil is establishing a new strategic hub in the northernmost part of the Norwegian continental shelf (NCS).

Proving additional volumes in the area would make the development even more robust.

Skrugard and Havis feasibility studies to be adjusted

The reservoir engineering work is mainly done in-house while Statoil is in the process of awarding several study contracts to engineering companies for the subsea and platform installations.

Statoil and its partners are considering developing the Skrugard discovery in the Barents Sea by means of a floating production unit with the additional capacity to process and transport from other prospects in the area.

A first feasibility study has identified a technical and commercial solution for the Skrugard field in the Barents Sea.

The solution involving a floating production unit will result in the rapid and cost-efficient development of the discovery. 

The production unit will have separate oil storage and offshore loading capability with a production capacity of 95,000 barrels of oil per day.

This feasibility study means that the field will be developed with 14 oil producers on the seabed and pressure support provided via injection wells for water and gas

From the discovery made in April 2011 of volumes estimated around 250 million barrels of recoverable oil equivalents, the last wells appraisals have added 350 million BOE with still a considerable upside potential. 

Because of the several prospects in the near Skrugard and Havis vicinity, Statoil will now look into the possibility of including possible discoveries in a total development solution.

Drawing upon partners’ experience and the lessons learned on Goliat, Skrugard will mainly be based on familiar offshore technology, while making allowances for harsh weather regions.

The project team will be located in Harstad, apart from the construction site section, which has been placed in Oslo.

The project will be matured in parallel with Aker Barents’ drilling of an exploration well on Havis and Skrugard. Based on the results further exploration drilling will be considered. 

A possible solution is a field center processing facility and transport capacity, with the flexibility to phase in the prospects in the area.

This is in line with Statoil’s ambition to develop the Barents Sea as a core area on the NCS

Skrugard will request high environmental and local content requirements

Skrugard represents a breakthrough in unexplored regions where we will co-exist together with the fisheries industry.

At the same time it is a development that will produce ripple effects and have an impact on technology and competence building in the supply chain – especially in the north. 

Statoil wishes to develop its close relationship to the suppliers industry and plans to hold meetings with suppliers and the supplier network so that they can create competitive alliances and position themselves for delivering to Skrugard. 

For Statoil it is important to contribute to the openness and predictability that enable the supplier industry to invest in competence, capacity, technology and a local presence.

The challenges of the Skrugard and Havis offshore oil fields in the Barents Sea are not only related to the Arctic conditions but also onshore to win the support of the Northern Norway communities

For more information and data about oil and gas and petrochemical projects go to Project Smart Explorer

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