Statoil to tieback North Sea Svalin structures to Grane

Statoil (OSE:STL;NYSE:STO) has submitted a development plan for the Svalin project in the North Sea to Norway’s Ministry of Petroleum and Energy.

Offshore staff

STAVANGER, Norway – Statoil (OSE:STL;NYSE:STO) has submitted a development plan for the Svalin project in the North Sea to Norway’s Ministry of Petroleum and Energy. Partners are ExxonMobil and Petoro.

The field is in 125 m (410 ft) water depth in block 25/11, 6 km (19.7 mi) southwest of the Grane platform.

The two structures, Svalin C and Svalin M, contain total recoverable reserves of around 75 MMboe. Svalin M will be produced through a well drilled from the Grane platform, while Svalin C will be a subsea development linked to the platform via a 6-km (3.7-mi) flowline. For Svalin M, start-up is scheduled for end-2013, while Svalin C is scheduled to be online the following summer.

The Grane gas compression facility will be modified to handle Svalin’s gas. Oil will be transported, with production from the Grane field, through the existing pipeline for subsequent storage and shipment from the oil terminal at Sture on the Norwegian west coast.

Aker Subsea will provide the subsea production system, with Subsea 7 responsible for the pipeline and marine operations.

Estimated investment is $756 million.

6/15/2012

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