German oil firm VNG has submitted a development plan for the Fenja field in the Norwegian Sea to the government.
VNG and its partners intend to invest £910million (NOK 10.2billion) in the project, which is expected to start producing in 2021 and continue for 16 years.
Fenja lies about 120kilometres north of Kristiansund and contains recoverable resources of about 100million barrels oil equivalent.
Atle Sonesen, managing director of VNG Norge, said: “The partnership has shown commitment when, just over three years since the discoveries were made, we are able to deliver a development plan for an economic project based on a good area solution and cooperation with the suppliers.
“Although this is the first development operatorship for VNG Norge, we have built a strong and experienced development team and are well prepared for execution.
“Compared to the initial plans, we have managed to reduce the cost of the project by almost NOK 2 billion.”
Fenja will be developed with two subsea templates with six wells connected to the Njord A platform for processing and storage and export via the Njord B ship.
The licensees in PL586 are VNG Norge AS (30%), Point Resources AS (45%) and Faroe Petroleum Norge AS (25%).