• NCSAtlas: provides monthly up-to-date information on licenses and field activities on the Norwegian Continental Shelf, including area-by-area reviews, exploration drilling activity, reserves/resources benchmarks, production profile outlooks and monthly feature topics (e.g. asset transaction).
NCSAtlas Insights April 2016 • Shortened field life • APA area extension
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Key NCS Takeaways April 2016
Bond holders in Noreco approved the sale of the Norwegian portfolio to DETNOR.
ENI started oil production on Goliat with two years delay. This is the first oil and FPSO field to be developed in the Barents Sea.
Statoil have decided to close down the Volve field by October 2016. The field has produced for 9 years with the jack-up platform Maersk Inspirer.
Statoil and Kværner started fabrication of the facility and living quarter for the Johan Sverdrup field.
Statoil announced they have exercised options for drilling services with Archer (Statfjord, Visund, Njord, Sleipner, Snorre), KCS Deutag (Oseberg, Gullfaks) and Odfjell (Grane, Heidrun) for NOK 5 billion.
Statoil awarded pre-engineering contract for Utgard to Aker Solutions and Wintershall decided to delay the Skarfjell development.
Madam Felle started the 2016 Krafla/Askja exploration campaign with a small oil discovery at around 3 MMboe, the side track targeting the Viti prospect was dry. Three more wells are planned to be drilled 2016.
New resource report presented by NPD. Overall net change in undiscovered resources compared to 2013 is insignificant while the distribution between the regions has seen an upgrade of the Barents Sea by almost 800 MMboe due to the Permian play model derisked by the Alta and Gohta discoveries.
Shell announced to pull the application in the 23rd license round leaving the round with 25 applicants. E/M, Total & ENI are also amongst the companies not applying in this exploration round.
OMV succeeded in drilling and testing the Wisting well 7324/7-3 S Wisting Central II. The well was drilled horizontally and produced 4800 bbl/d of oil. This is the first time on the NCS that a well has been build from vertical to horizontal over a vertical depth interval of approximately 250 meter.
Norges Bank Updates
Norges Bank estimates that the E&P investments will be reduced by 12% in 2016 and another 7% in 2017. The bank also estimate that exploration is expected to be reduced by 44% in 2016 followed by increase of 6% in 2017.