Norne satellite plan approved

July 2, 2004, 15:00 CEST

The plan for development and operation (PDO) of Statoil’s two Norne satellites, Svale and Stær, in the Norwegian Sea has been approved by the Ministry of Petroleum and Energy.

This project involves developing the two fields with three subsea templates tied back to the production ship on Norne, which will need some minor modifications.

Eight wells are due to be drilled on the satellites from October, and the first is scheduled to begin producing in the autumn of 2005.

With a forecast output of just under 70,000 barrels of oil per day, the two fields are expected to cost about NOK 3.6 billion to bring on stream.

Four contracts were recently awarded for the project, including one to Stolt Offshore for delivery and installation of flexible risers and water injection lines.

This company will also be responsible for marine operations, which embrace the installation of umbilicals and manifolds as well as connecting up the subsea systems.

These two contracts are worth about NOK 200 million, while the job of laying pipelines for production and gas lift – which has gone to Technip Offshore – is worth just under NOK 100 million.

Nexans Norway is to supply direct heating cable (DEH) and DEH riser. This will have a value of NOK 56 million.

Statoil has awarded the assignments on behalf of the licensees in production licence 128, where it has a 40.5 per cent holding.

The group’s partners are Petoro with 24.5 per cent, Norsk Hydro 13.5 per cent, Eni 11.5 per cent and Shell/Enterprise 10 per cent.