Oil and gas round-up

A consortium of Wellesley (50%), DNO (30%), Aker BP (10%) and Equinor (10%) have announced a significant gas and condensate discovery on the Carmen prospect in the Norwegian North Sea licence PL1148. Preliminary evaluation of data indicates gross recoverable resources in the range of 120-230 million barrels of oil equivalent (MMboe). At 175 MMboe, the mid-point of this range, Carmen ranks as the largest discovery on the Norwegian Continental Shelf since 2013. The two wells have established a deeper hydrocarbon-water contact, tripling the mid-point of DNO’s pre-drill expected range. Carmen is DNO’s sixth discovery in the Troll-Gjøa area since 2021 and is close to existing infrastructure. Other discoveries are Røver Nord, Kveikje, Ofelia, Røver Sør and Heisenberg.

Norway has given OMV consent for exploration drilling in Blocks 6607/3 and 6607/6 in the Norwegian Sea. Well 6607/3-1 S will be drilled in production licence PL 1016 to test the Velocette prospect. Water depth is 475 m. Partners in PL 1016 are OMV (40%, operator), INPEX (40%), and Longboat Energy (20%).

Equinor’s plans for development and operation of the subsea fields Irpa and Verdande, and the production well Andvare in the Norwegian Sea have been approved by Norwegian authorities. Irpa gas field will be tied back to Aasta Hansteen, whereas the oil field Verdande and the Andvare well will be tied back to Norne. The gas discovery is located almost 80 km from the Aasta Hansteen field, and the development will extend the field’s productive life by seven years, up to 2039. Irpa, the second subsea field tied back to Aasta Hansteen, will be the deepest field on the Norwegian continental shelf, at 1350 m.

Norway has approved nine plans for development and operation (PDOs) and one plan for installation and operation (PIO), all operated by Aker BP. Total recoverable resources from these projects are estimated to above 700 million barrels of oil equivalent (mmboe) net for Aker BP, with an average break-even price of $35-40 per barrel.

OMV and Romgaz have made a final investment decision on the Neptun Deep project offshore Romania, comprising two natural gas fields, Domino and Pelican South, in the Neptun Deep offshore block. OMV and Romgaz will jointly invest up to 4 billion euros for the development phase of the project, set to bring on stream around 100 billion m3 of natural gas. First production is estimated for 2027 and production will increase to 140 kboe/day, for almost 10 years.

OMV has won approval from Norway for its Plan for Development and Operation (PDO) of the Berling gas and condensate discovery in the Norwegian Sea.

In the first five months of 2023 production in Norway was 50.5 billion Sm3 of gas, 43 million Sm3 of oil, 5.5 million Sm3 NGL/condensate. Eighteen exploration wells have been drilled, 12 of which are wildcat wells. Discoveries have been made in seven of the wells. The discoveries total between 9 and 32 million Sm3 oil equivalent (o.e.). Twenty four Plans for Development and Operation (PDOs) have been approved. Just under 40 wildcat and appraisal wells are expected this year. Nineteen oil and gas projects on the Norwegian shelf were approved in July, with investments in excess of $19 billion. These projects include new developments, further developments and improved recovery of existing fields.

Orlen Group and its licence partners have received approval of the Plan for Development and Operation of Ørn and Alve Nord fields on the Norwegian Continental Shelf. The development will provide the company with approx. 0.4 bcm of natural gas per year at peak production. Alve Nord and Ørn carbon intensity will be more than three times lower than the global average for upstream industry. Norway has also approved development and production plans for other ORLEN Group fields Fenris and Tyrving as well as for the Yggdrasil area.

Norway has approved Aker BP’s development plans for Symra and Solveig Phase 2 in the Utsirahøyden area in the North Sea. The Symra field will be a tie-in to the Ivar Aasen production platform.