Submitting plans for two development projects

27. Mar. 2017

The partnerships in the Njord and PL348 licences in the Norwegian Sea, has submitted the plans for two development projects to Norwegian authorities.


New technology and project improvements trigger new investments on the Njord and Bauge fields in the Norwegian Sea

It is a revised plan for development and operation of the Njord field and a plan for development and operation of the new Bauge field that was submitted to the Norwegian minister of petroleum and energy, Terje Søviknes, Monday 27 March.

Statoil is the operator of both fields. ENGIE E&P Norge has a 20% ownership in the Njord field and 10% in Bauge. The Njord-field is one of the company's key assets on the Norwegian Continental Shelf.

Prolongs lifetime of field
Njord was assumed to be shut down in 2013. However, with new technology, project improvements and close cooperation with the partners and supply industry, the licences now see opportunities to create considerable value for several more years to come.

"ENGIE E&P is an active partner in these projects that will prolong the lifetime of Njord by some 20 years. This will secure valuable production and reserves for the company, as well as ensure work for the local yard and supply industry," says Carl Otto Houge, Manager Non Operated Ventures, in ENGIE E&P Norge.

Capital expenditures for both fields total NOK 19.8 billion (Njord NOK 15.7 billion, and Bauge NOK 4.1 billion).

The work performed on the Njord A platform at Kværner Stord will facilitate the tie-back of Bauge, as well as potential third-party tie-ins.

The Njord and Bauge projects
Njord A and Bravo (FSO) will be upgraded to recover the remaining resources on the Njord, Hyme og Bauge fields.

Statoil estimates the remaining resources on the Njord and Hyme fields to total 175 million barrels of oil equivalent. This corresponds to the reserves produced on the Njord field since first oil in 1997. In addition, there are 73 million barrels of oil equivalent at Bauge.

The Bauge development will be the first user of the Cap-X technology, which is a next-generation subsea production system. The concept includes one subsea template, two oil producers and one water injector. The Bauge resources will be phased in to the Njord A platform. This alone helps increase the life of the Njord field by three years.

Both projects will come on stream at the end of 2020.

Partners in Njord: Statoil (operator) 20%, Engie E&P Norge AS 40% (20)*,DEA Norge AS 30% (50)*, Faroe Petroleum 7.5% and VNG Norge AS 2.5%.*
*The ownership interests will be changed in accordance with the percentage in brackets, given government approval.

Partners in Bauge: Statoil (operator) 35%, ENGIE E&P Norge AS 20% (10%)*,Point Resources AS 17.5%, DEA Norge AS 17.5% (27.5%)*, Faroe Petroleum Norge AS 7.5%, VNG Norge AS 2.5%.
*The ownership interests will be changed in accordance with the percentage in brackets, given government approval.

For more information, please read the press release on operator Statoil's website.