Var Energi (OSLO: VAR) is toasting a “major milestone” after the mammoth Jotun FPSO was refloated at a yard in Norway.
The oil and gas operator has shared footage of the moment the vessel became buoyant once more, ahead of returning to the Balder area.
Jotun left the North Sea in 2020 to allow for upgrade work to be carried out at Worley’s Rosenberg yard near Stavanger.
In overhauling the vessel Var Energi is hoping to keep the Balder area running up to 2045, making it Norway’s oldest license with a lifetime of 80 years.
On top of the upgrades to the Jotun FPSO, 13 new production wells and one water injection well will be drilled on the field.
Var Energi is aiming to extract another 136 million barrels of oil equivalent (Mboe).
In a post on LinkedIn, the Oslo-listed firm said: “Major milestone! Refloat for Jotun FPSO at the Rosenberg Worley yard in Stavanger – taking us one big step closer to sail out and production start! THANK YOU to all involved in the Balder Future project – for your commitment, passion and energy.”
Var Energi chief executive Torger Rod added: “Great to see the sea water flowing in – a visible proof of progress. Many thanks to all involved. Onwards and upwards – safe and sound.”
First oil from the wider Balder X scheme is expected in Q3 2024 after Var Energi revised the schedule and investment estimates for the project.
The Jotun FPSO weighs in at 92,000 deadweight tonnes, came online in 1999, and is capable of producing 70,000 barrels per day.
Worley Rosenberg was handed a contract to provide life extension services on the vessel in 2019.
Var Energi is one of the largest exploration and production companies in Norway, with production from over 30 oil and gas fields.
The group listed on the stock exchange in Oslo in February 2022 – Eni and Point Resources remain its largest shareholders.