NPD reports on first quarter activity

Production on the Norwegian continental shelf in the first quarter was stable, even slightly exceeding forecasts, according to the Norwegian Petroleum Directorate.

Offshore staff

STAVANGER, Norway -- Production on the Norwegian continental shelf in the first quarter was stable, even slightly exceeding forecasts, according to the Norwegian Petroleum Directorate. There was more drilling activity in the first quarter of this year than in the corresponding period in 2008.

The authorities have received two new plans for development and operation (PDOs). Six new discoveries were made on the shelf.

Production of oil rose from 2.135 MMb/d in 1Q 2008 to 2.142 MMb/d in the first quarter of this year. If condensate and natural gas liquids (NGL) are included, there was a marginal increase in daily liquid production to 2.51 MMbbl.

Gas production continues to rise. In the first quarter, 29.8 bcm of gas were produced on the Norwegian shelf, while 28 bcm were produced in the same period last year.

Total petroleum production from the Norwegian shelf has increased from 64.24 MMcmoe in 1Q 2008 to 65.73 MMcmoe in the same period of this year.

Six discoveries were made on the shelf in the first quarter, all of which are considered to be relatively small.

Four of the discoveries were made in the North Sea: 30/11-7, 30/8-4 S, 30/9-22, and 34/7-34.

The two last discoveries were made in the Norwegian Sea: 6608/10-12 A and 6705/10-1.

On Feb.18, the authorities received the PDO of the Goliat oil field in the Barents Sea, where Eni Norge AS is the operator for the development. The other licensee is StatoilHydro Petroleum AS. Goliat is the first oil field planned for development in the Barents Sea. The licensees plan to develop the field using a floating production facility with full processing, storage, and offloading.

On March 9, the operator, Dong E&P Norge AS, submitted a PDO of the Oselvar oil and gas field in the North Sea. The other licensees are Norwegian Energy Company ASA (15%), Wintershall Norge ASA (15%), and Bayerngas Produksjon Norge AS (30%).

The development concept consists of a trawlable seabed facility with three production wells. Production will be routed in pipelines to the Ula platform for processing.

The licensees plan to commence production from the field in 4Q 2011. Recoverable reserves are estimated at 4.3 bcm of gas and 3.9 MMcm of oil.

Fifteen exploration wells were completed on the Norwegian continental shelf in the first quarter, five more than in the same period in 2008. In the first quarter of this year, 22 mobile drilling facilities were in operation on the shelf, compared with 18 during the same period last year.

A total of 39 development wells and six lateral wells were spudded during the three first months of 2009, while 22 development wells and five lateral wells were spudded during the same period in 2008, the NPD reports.

06/01/2009

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