Senergy, the Aberdeen-based provider of diversified energy services, said yesterday it was to help the UK Government find ways to extend the production life of North Sea oil and gas.
The firm has been awarded a framework agreement, worth up to £1.8million, to support the work of the Department for Energy and Climate Change as it seeks to secure maximum recovery from oil and gas developments and promote opportunities to access new reserves in technically challenging fields.
Energy Minister Mike O’Brien gave a commitment to commission a three-year study project, already under way, during an offshore visit at the end of last year.
Announcing its government award yesterday, Senergy oil and gas managing director Dave Reed said: “This is a key piece of work in terms of prolonging the life of the UK North Sea and we’re delighted that Senergy has been given the opportunity to fulfil such a strategic role.
“We will be drawing upon a variety of our technical and professional disciplines to meet the remit of the contract and provide a detailed assessment of the challenges and opportunities as they exist. We have held similar study contracts with the government in the past but this project has extra significance, given the popular belief that we are at a critical point in . . . deciding which direction the North Sea industry now needs to take to ensure its long-term future.”
Senergy said the work involved an assessment of the most effective ways of maximising economic hydrocarbon recovery from the UK continental shelf via proper stewardship of discovered fields. In addition, it will cover the deployment of the latest technology for new field developments.
Senergy’s work forms part of wider studies, which Mr O’Brien committed £5million to in December. Launching the initiative, he said the work would also look at regulatory regimes and the best ways to encourage firms to be active in UK waters.
Petrofac said yesterday production had started at the West Don field in UK North Sea block 211/18a north-east of Shetland.
Field operator Petrofac Energy Developments says peak production from West Don is expected to be about 25,000 barrels of oil per day (bpd).
Its partners are Valiant Petroleum, Nippon Oil Exploration and Production, Stratic Energy and First Oil.
Petrofac is also operator of the nearby Don Southwest field, where first production is expected towards the end of the second quarter of 2009. Peak production from both fields is expected to reach more than 40,000bpd.
The Northern Producer floating production unit will process fluids from both fields ahead of export. It has been secured for field life under a lease arrangement.
Oil export from the Northern Producer will take place initially by tanker, switching to pipeline export via a subsea tieback to existing infrastructure in due course.
Recommended for you
