UK and Norway approved on 1 July the development of Enoch and Blane fields. Both fields have remained undeveloped for years, partly because they are trans-boundary
Milestone in bi-lateral co-operation
Enhanced co-operation between UK and Norway in general and in particular the signing of the Framework Agreement Concerning Cross-Boundary Petroleum Co-Operation earlier this year, have encouraged new trans-boundary projects. The approvals of the new developments mark important milestones in the bilateral co-operation between UK and Norway.
An excited Minister Widvey
- Over the last years the co-operation between UK and Norway has improved, the Norwegian Minister of Petroleum and Energy Thorhild Widvey says, commenting on today's approvals. I am excited to observe that the new Framework Agreement for Trans-boundary Projects signed in April 2005, now transpose into new projects.
New smooth approval process
In the past trans-boundary fields like Enoch and Blane have been subject to individual treaties between UK and Norway. With the new Framework Agreement in place, this is history.
Agreed principals for cross-boarder co-operation facilitate a transparent approval process. Accordingly, the prospect of unlocking new trans-boundary projects in the North Sea seems likely. Since many of the areas of the North Sea are mature, new projects may ensure optimal use of existing infrastructure.
Recent cross-boarder projects like Langeled, Playfair, Boa, Statfjord Late Life, Tampen Link and now Enoch and Blane, illustrate that the UK-Norwegian co-operation is working.
Blane lies partly on the UK Continental Shelf (UKCS) and the Norwegian Continental Shelf (NCS). Blane is planned as a sub-sea development tied back to Ula, which is a Norwegian field located north-east of Blane. At Ula the well stream will be processed for further transport in existing export infrastructure. The sub-sea installations related to Blane will be placed on the seabed on the UKCS.
Blane is expected to come on stream by the end of 2006. Blane will produce up to 14 000 barrels og oil per day, while the field's reserves is estimated to about 5,1 million standard cubic meter of oil equivalents. The expected capital expenditure for the project is 1,7 billion Norwegian kroners. The operator for Blane is Paladin Expro Limited. The remaining licensees are: MOC Exploration (UK) Limited, ENI UK Limited, Roc Oil (GB) Limited, Bow Valley Petroleum (UK) Limited, ENI ULX Limited, Paladin Resources Norge AS and Talisman Energy Norge AS.
Enoch lies partly on the UKCS and the NCS and is located south-west of the Norwegian Glitne field. Enoch is planned as a sub-sea development tied back to the Brae field located on the UKCS. At Brea the well-stream will be processed for further transport in existing export infrastructure. The sub-sea installations related to Enoch will be placed on the seabed on the UKCS. Hence, all the installations associated with Enoch will be located on the UKCS. Enoch is expected to come on stream by the end of 2006.
Enoch will produce up to 12 000 barrels of oil per day, while the field's reserves is estimated to about 2,4 million standard cubic meter of oil equivalents. The expected capital expenditure for the project is 811 million Norwegian kroners. The operator for Enoch is Paladin Expro Limited. The remaining licensees are: Dyas UK Limited, Roc Oil (GB) Limited, Bow Valley Petroleum (UK) Limited, Dana Petroleum (E&P) Limited, Petro-Canada UK Limited, Lundin North Sea Limited, Statoil ASA, Total E&P Norge AS, Det norske oljeselskap AS and DONG Norge AS.
Click here for a press release from the British Government (DTI)