Edvard Grieg first oil November 2015
Edvard Grieg – outstanding performance at low cost
The majority of Lundin Petroleum’s production comes from its key operated Edvard Grieg asset in PL338 on the Utsira High in the Norwegian North Sea. The field contributed close to 80 percent of total production in 2017 at a cash operating cost of less than USD 4 per barrel. Increased facilities capacity, high production efficiency and strong reservoir performance are the key drivers behind this excellent performance.
The field was discovered in 2007 with Lundin Norway’s very first drilled exploration well and production started in late 2015. The field has been developed with a steel jacket platform resting on the seabed with topsides weighing about 22,500 tonnes, including a process facility, utility module and living quarters. Edvard Grieg is designed as a field centre and receives oil and gas from neighbouring fields and future developments for processing. Oil is transported via the Grane pipeline to the Sture terminal in Øygarden in Hordaland, while gas is transported via a separate pipeline system to St. Fergus in Scotland.
The development drilling programme on Edvard Grieg, consisting of 14 wells, was successfully completed in 2018 with overall reservoir results exceeding the pre-drill expectations. Combined with a strong reservoir performance, that has seen no material water production to date, these positive results have led to a 47 percent increase of the best estimate gross ultimate recovery for the Edvard Grieg field since the PDO. This positive upgrade has led to the field production plateau being extended from the PDO by two years to end 2019. An infill development drilling programme is being planned for 2020 which has the potential to further extend the production plateau.
The resource upside at Edvard Grieg and the additional resource potential in the area are incremental to Lundin Petroleum’s long-term production guidance and have the potential to keep the Edvard Grieg facilities full for many years, maintaining the current operating cost for the field of below USD 4 per barrel.
Lundin Norway is the operator of PL338 with a 65 percent working interest. The partners are OMV Norge with 20 percent and Wintershall Norge with 15 percent.
|»||Gross reserves (31.12.2017): 223 MMboe|
|»||Hydrocarbon type: Oil|
|»||Location: Block 16/1 in the North Sea|
|»||Discovery well: 16/1-8 (2007)|
|»||Production start: 28 November 2015|
|»||Operator: Lundin Norway (65%)|
|»||Partners: OMV Norge (20%), Wintershall Norge (15%)|
|»||Reservoir age: Triassic, Jurassic, Lower Cretaceous|
|»||Sedimentation environment: Alluvial, eolian and shallow marine conglomerates and sandstones|
|»||Reservoir depth: 1,900 m|
|»||Well types: 10 oil producers + 4 water injectors|
|»||Depletion strategy: Water injection|
|»||Expected plateau rate:100,000 boepd|
|»||Expected lifetime: 30 years|
|»||Platform resting on the seabed|
|»||Oil pipeline to the Grane oil pipeline (Sture oil terminal) – completed|
|»||Gas pipeline to SAGE (Scottish Area Gas Evacuation) – completed|