Equinor To Fast-Track New Discovery To Bring Natural Gas To Europe In 2023

Equinor announced on Monday a new commercially viable gas discovery near a producing field that can be brought online and deliver gas to Europe as early as this year.  

Equinor has made the gas discovery by the Gina Krog field in the North Sea. Despite the fact that the discovery is small, natural gas production can start as early as 2023, the Norwegian energy major said in a statement.

The recoverable volumes at the newly-discovered field are estimated to be between 5 and 16 million barrels of oil equivalent. This is the first commercial discovery in the Gina Krog license since 2011.

The discovery is considered commercially viable, partly because it can make use of existing infrastructure by the Gina Krog platform. The well has been drilled as a development well with an exploration target, and the plan is to put the well into production during the fourth quarter of 2023, Equinor said.

“The discovery will help extend the lifetime and strengthen the profitability of Gina Krog and is important for the entire Sleipner area,” said Camilla Salthe, senior vice president for field life extension in Equinor.

“It will quickly bring new gas to Europe with good profitability and low CO2 emissions from production.”

Last week, Equinor made an oil and gas discovery near Oseberg, one of the top fields offshore Norway, which could add additional resources to the field.

Norway has been betting on the continued development of its oil and gas resources and has raised its natural gas production over the past year and a half to send more gas via pipelines to Europe, which saw most of its Russian supply cut off after the Russian invasion of Ukraine.

Earlier this year, the Norwegian government approved the development of 19 offshore oil and gas projects worth more than $18 billion (200 billion Norwegian crowns) in investments. The projects include new developments, additional development of producing oil and gas fields, and investments to increase resource recovery in producing fields.  

By Charles Kennedy for Oilprice.com

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