Sygna given green light
The Norwegian Ministry of Petroleum and Energy recently approved the plan for development and operation of the Sygna field.
The plan was submitted to the Norwegian authorities last year and it was approved in a Norwegian cabinet meeting on 30 April. According to project manager Kåre Søvik, there are several reasons for this time span.
The field is divided between the two blocks, 33/9 in the PL037 Statfjord licence and 34/7 in the PL089 Snorre licence. The Ministry of Petroleum and Energy required time to clarify the rules for voting rights for Sygna.
"Certain assessments have also been made concerning the recovery factor from Sygna in relation to a future shut-down of the Statfjord platform," says Mr Søvik.
Statfjord C will receive the well flow from the two subsea wells in the Sygna field north of Statfjord.
A total of NOK 1.6 billion will be invested in developing this North Sea field. The MPE gave the project the all-clear to enter into contracts on 1 February and start-up is expected as soon as 1 August 2000. Production is expected to continue until 2014 and according to Mr Søvik, this will contribute to extending profitable operation of the Statfjord C platform.
Sygna contains recoverable reserves totalling about 63 million barrels of oil. The production rate on the field is estimated to be 40,000 barrels per day.
"Although the size of the field is limited, its financial possibilities are good. Even with an oil price of USD 6-7, Statoil's required rate of return will be fulfilled," says the project manager.