Norwegian operator Statoil has decided to develop its Johan Castberg discovery in the Barents Sea using an FPSO (floating, storage and offloading vessel).
The company’s chief executive Eldar Saetre told a seminar in Norway that the planned concept would work well in moving the project forward at a lower cost.
It is estimated that Johan Castberg contains between 450-560 million barrels.
Saetre told the audience estimated production start-up is expected in 2022.
He said a floating production vessel would help to safeguard the resource potential of the region in a “satisfactory manner”.
Saetre added that the FPSO concept was the most financially robust.
Earlier today it was revealed that Statoil has been awarded the highest number of licences since 2005 by the Norwegian authorities.
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