Offshore staff

OSLO, Norway -- Planning has begun at Hydro on development and operation of the gas discoveries at Camilla, Belinda, and Fram B in the North Sea. The completed plan is scheduled for submission to the government by the end of the year.

The fields are at a water depth of 380 m, in North Sea blocks 35/8 and 35/11, around 80 km west of Florø, Norway's westernmost town. They will be connected to the oil and gas installation Gjøa. From Gjøa, the plan is that the gas will be exported via a new pipeline to the pipeline system FLAGS on the British continental shelf, and then on to the terminal at St. Fergus. The condensate will be exported via a new pipeline to Troll Oil Pipeline II, and then on to Mongstad.

Recoverable reserves are estimated at 18 bscm and 4 MMcm of condensate. The chosen development solution involves a four-well subsea production template, with two production wells for each of the structures.

Partners in PL 248, Camilla and Belinda are Hydro (operator) 40%, Petoro 40%, and Statoil 20%. Partners in PL 090C Fram B are Hydro (operator) 25%, Revus 25%, Statoil 20%, Idemitsu 15%, and Gaz de France 15%.

8/22/06