Faroe Petroleum said it has taken a decision with its partners in the Pil & Bue discoveries on the Norwegian North Sea that its wells will be connected to Statoil’s nearby Njord platform.
The Aberdeen company – whose biggest shareholder is Dana Petroleum – has a 25% stake in Pil and Bue and a 7.5% stake in the Njord facilities.
In 2014, the AIM-listed Faroe discovered “unexpected” reserves thought to contain up to 170million barrels of oil on Pil. Other partners in the field include VNG Norge, Spike Exploration and Rocksource Exploration.
The Njord production facility is currently in Kvaerner’s Stord facility in Norway undergoing extensive modifications in order to increase materially its operating life and accommodate a number of new satellite field tie-back developments including Pil & Bue.
Faroe said tying the fields back to Njord is seen as “the best option”, adding that its partners on Njord have offered their “full support” for the plan.
The tieback will be delivered through a front end engineering and design (FEED) stage towards a formal field development plan.
Graham Stewart, chief executive of Faroe said: “I am very pleased to announce that the Njord facilities have been chosen for the development of the material Pil & Bue discoveries.
“This is a significant step in the maturation of these high quality discoveries and the fact that they will be tied back to infrastructure we know well, and are joint venture partners in, further consolidates one of our core areas in Norway.”
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