Norway's Aker BP ASA said on Dec. 18 it will start drilling and construction soon at its Grey Seal oil and gas field in the Norwegian Sea, and also expects to begin production in fourth-quarter 2021.
Located 210 km (130 miles) offshore, near the existing Skarv Field, the investment costs of Grey Seal are expected to touch 1.2 billion Norwegian crowns (US$140 million).
"Based on a development solution with reuse of existing infrastructure, this project has become very profitable," Project Manager Mette Nygaard said in a statement.
Containing an estimated 13 MMboe, the project has a break-even cost of just $15/bbl, the company said.
Oil from Norwegian fields currently sells at about $50/bbl.
Equinor ASA, Wintershall Dea and PGNiG are partners in the field.
(US$1 = 8.6094 Norwegian crowns)
Recommended Reading
Baker Hughes Wins Contracts for Woodside’s Louisiana LNG Project
2024-12-30 - Bechtel has ordered gas technology equipment from Baker Hughes for the first phase of Woodside Energy Group’s Louisiana LNG development.
SM Energy Adds Petroleum Engineer Ashwin Venkatraman to Board
2024-12-04 - SM Energy Co. has appointed Ashwin Venkatraman to its board of directors as an independent director and member of the audit committee.
BP Profit Falls On Weak Oil Prices, May Slow Share Buybacks
2024-10-30 - Despite a drop in profit due to weak oil prices, BP reported strong results from its U.S. shale segment and new momentum in the Gulf of Mexico.
Exxon Slips After Flagging Weak 4Q Earnings on Refining Squeeze
2025-01-08 - Exxon Mobil shares fell nearly 2% in early trading on Jan. 8 after the top U.S. oil producer warned of a decline in refining profits in the fourth quarter and weak returns across its operations.
Mexico Pacific Working with Financial Advisers to Secure Saguaro LNG I FID
2024-10-23 - Mexico Pacific is working with MUFG, Santander and JP Morgan to arrange the financing needed to support FID and the anchor phase of Saguaro Energía LNG.