Production will head through a new subsea pipeline to the shore.
The initial phase will target recovery of 540 bcf of gas from four producing wells onTolmount. Premier sees potential for a further 370 bcf at the Tolmount East and Tolmount Far East structures.
Offshore front-end engineering and design (FEED) contracts have been awarded and the FEED should last for nine months, with project sanction anticipated early next year.
Premier estimates capex to first gas at around $550 million, although it is working with contractors on reducing the upfront costs. In addition, the company has begun seeking further partners interested in taking a 20% stake in the project.
Last April, the company produced oil from the first producer well on theSolan field west of Shetland, with the second producer coming onstream four months later.
However, overall production was impacted by poorer than expected reservoir performance in the eastern part of the field which is constraining water injection and production rates from the second producer (P2).
Following the failure last month of the electric submersible pump (ESP) in P1, the semisubmersibleTransocean Spitzbergen, which has been working nearby, will install two ESPs in the well.
The aim is to restore output from the well to at least 10,000 b/d from mid-year: currently the field is producing around 9,000 b/d with P1 on free flow.
Premier continues to assess options for stepping up water injection into the reservoir to support higher production levels. It has already boosted platform pump capacity, but another well or a side track may be needed to attain a higher uplift in production and improve recovery.
Solan’s team are monitoring production behavior to better delineate recovery from the existing wells and to define the scope for a potential drilling program in 2018.