Statoil Likely to Pick Floating Facility for Big Arctic Field

Posted by Michelle Howard
Thursday, May 15, 2014
Photo by Harald Pettersen (Courtesy Statoil)

Statoil is more likely to develop the $15.5 billion Johan Castberg field in the Arctic using a floating production storage and offloading (FPSO) installation than via an oil terminal on land, a senior company executive said on Thursday.

 


Last year the oil firm suspended the development of its flagship Arctic project due to cost inflation and a tax hike.



Finding more resources was key to making the project economically viable but earlier this month the firm said the results of the latest and final, round of drilling were disappointing.



Two options were on the table: to transport the oil from the field to a terminal on land where tankers would load up, or have an FPSO at the field and load vessels there.
 


"It is clear that there had been a negative development with the search (for more oil and gas resources). It is clear it weakens the option of having a terminal on land," Ivar Aasheim, Statoil's director of field development off Norway, told Reuters.



"A terminal is very good if you have large volumes," he said on the margins of an oil and gas seminar.



Production is projected to start in 2020, he said. The original plan, before the delay, was for production to start in 2019.



The base case for daily production is for 30,000 cubic metres of oil per day, he said.
 


Aasheim said Statoil would give an update on the status of the project "before the summer holidays", which in Norway tend to start in July.

 

Statoil is the operator of Johan Castberg and has a stake of 50 percent. Italy's Eni has a stake of 30 percent and Norwegian state-owned firm Petoro holds the remaining 20 percent.

 

(By Gwladys Fouche, Editing by William Hardy)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter April 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

MHIA Relocates to Houston

Today Mitsubishi Heavy Industries America, Inc. (MHIA), a Group company overseeing the business of Mitsubishi Heavy Industries, Ltd. (MHI) in North America, commenced

Pan Ocean on Recovery Path

S. Korea’s Pan Ocean Co.  is expected to see its earnings improve amid rising Baltic Dry Index (BDI) that affects spot contracts accounting for more than half

Offshore Casualty: Harkand Group Collapses

As the prolonged slump in energy prices continues to drag on a number of oil and gas and maritime players, word has it that Harkand Group has succumbed, according to staff reports and a report on www.

News

Navy to Christen Littoral Combat Ship Manchester

The Navy will christen its newest Independence-variant littoral combat ship, USS Manchester (LCS 14), during a 10 a.m. CST ceremony Saturday, May 7 in Mobile, Alabama.

BSEE, USCG on Sharing Information, Jt Ops

Bureau of Safety and Environmental Enforcement (BSEE) Director Brian Salerno and U.S. Coast Guard Rear Admiral Paul Thomas participated in a luncheon panel discussion

Gazprom Wins Green Development – Evolution Awards

Gazprom was announced the winner of the All-Russian Green Development – Evolution Awards 2016 in the Best Green Tech Solution category. The award was presented

Arctic Operations

Crowley Acquires Ace Fuels Assets in Anchorage

Anchorage-based Crowley Fuels yesterday completed an asset acquisition of the aviation fuels business of Ace Fuels, LLC, a fixed base operator (FBO) headquartered

DNS Appoints Esson, Chief Executive

Decom North Sea (DNS), the representative body for the offshore decommissioning industry, which promotes and facilitates collaboration and cost reduction, today appointed a new chief executive.

Damen, Expedition Voyage Consultants Join Forces

Damen and Expedition Voyage Consultants team up to develop globally capable expedition ship. In response to interest from clients in the fast-growing expedition cruise market,

 
 
Maritime Careers / Shipboard Positions Navigation Pipelines Pod Propulsion Port Authority Salvage Ship Electronics Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1023 sec (10 req/sec)