Volund set for Alvheim tieback

Offshore staff

STOCKHOLM, Sweden --Marathon Oil has approval from Norway's government for its plan to develop the Volund field in the North Sea. This involves tying the structure back to the Alvheim FPSO, 11 km (7 mi) to the north, via one subsea water injection and three production wells.

Partner Lundin Norway estimates Volund's reserves at 45MM-boe. At peak, the field should produce 23,000 boe/d, the crude being commingled with Alvheim's oil before being exported via shuttle tankers. Volund's gas will head through the SAGE pipeline to the UK mainland.

Alvheim itself is due on stream this spring, with maximum output of 85,000 boe/d.

01/21/2007