Vår Energi and Equinor have negotiated an asset exchange in the North Sea that should usher in a further tieback project to the Gjøa production area.
Under the agreement, which has to be approved by Norway’s authorities, Vår Energi will acquire a 32.5% interest and operatorship from Equinor in the Peon discovery in licenses PL269, PL318/B/C/D.
Peon is said to be one of the largest undeveloped gas discoveries on the Norwegian Continental Shelf, holding an estimated 105-195 MMboe.
The location is 60 km northwest of the Vår Energi operated Gjøa field. A tie-back (both companies have agreed on the concept) could help extend the economic lifetime of the Gjøa hub to around 2045.
The processed gas would head to the onshore Kårstø complex, generating further value for Equinor.
In exchange, Vår Energi will hand Equinor a 5% interest in the Fram field in the Troll area (PL090/PL090E/PL090I), including 40% of the Mulder discovery, contingent on a carve-out of the field; and a 5% interest in the Grosbeak discovery (PL090JS/ PL925) and the Grønngylt prospect.
Mulder and Grønngylt are both included in the recently announced Ringvei Vest development cluster development through the Troll facilities.
“This is the latest in a series of transactions on the NCS where we have aligned interests across partnerships to enable faster tie-back developments”, said Kjetil Hove, EVP at Equinor for Exploration & Production Norway, said in a June 30 Equinor release.
