• 6 minutes WTI @ 67.50, charts show $62.50 next
  • 11 minutes Saudi Fund Wants to Take Tesla Private?
  • 17 minutes Why hydrogen economics is does not work
  • 9 hours Starvation, horror in Venezuela
  • 19 mins The EU Loses The Principles On Which It Was Built
  • 11 hours Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 6 hours Crude Price going to $62.50
  • 15 hours Anyone Worried About the Lira Dragging EVERYTHING Else Down?
  • 9 hours Chinese EV Startup Nio Files for $1.8 billion IPO
  • 20 hours Oil prices---Tug of War: Sanctions vs. Trade War
  • 20 hours Correlation does not equal causation, but they do tend to tango on occasion
  • 8 hours WSJ *still* refuses to acknowledge U.S. Shale Oil industry's horrible economics and debts
  • 20 hours Russia retaliate: Our Response to U.S. Sanctions Will Be Precise And Painful
  • 1 day WTI @ 69.33 headed for $70s - $80s end of August
  • 22 hours Monsanto hit by $289 Million for cancerous weedkiller
  • 1 day California Solar Mandate Based on False Facts

Repsol, VNG Announce $2.2B Plan For Norwegian Oil Fields

North Sea

While Statoil expands its operations in Brazil, two European energy companies—Spanish Repsol and German VNG—have announced investment plans for two fields in the North Sea and the Norwegian Sea.

The Norwegian oil ministry said the two have committed a combined US$2.2 billion for the development of the Fenja and Yme fields, with a view to start commercial production in the beginning of the next decade.

Repsol will spend US$960 million (8 billion crowns) on the development of the Yme field in the North Sea, whose recoverable reserves are estimated at 65 million barrels of oil equivalent, with maximum daily production seen at 50,000 barrels. The Spanish company is operator of the field with a stake of 55 percent, in partnership with Lotos Exploration, OKEA, and KUFPEC Norway as minority shareholders. First oil should flow in the first half of 2020.

VNG, for its part, will invest US$1.22 billion (10.2 billion crowns) in the Fenja field, which holds around 100 million barrels of oil equivalent. The German company has a 30 percent in the field. Its partners are Point Resources with 45 percent, and Faroe Petroleum with 25 percent.

Most of Norway’s reserves in the North Sea have already been exploited, and now a lot of large fields are nearing depletion, but there is still oil and gas to pump there, as indicated by Repsol’s and VNG’s ambitious investment plans. The bulk of the untapped hydrocarbon reserves of Europe’s largest producer are in the Arctic: the Barents Sea.

Related: U.S. Solar Nearly Doubles Output In 2017

Statoil has been active there, but this year’s drilling season failed to yield any significant finds. Statoil said it will return next summer, upbeat about the discovery prospects—but in the meantime, the state oil major is expanding its presence in the next hot spot for Big Oil: Brazil.

Earlier this week, the company said it had acquired a 35-percent stake in the Roncador field in the offshore Campos Basin. The field has remaining recoverable reserves of more than 1 billion barrels of oil equivalent. The acquisition will triple Statoil’s Brazilian production.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:

Join the discussion | Back to homepage

Leave a comment
  • NinoCh on December 21 2017 said:
    World oil companies are trying with all their might to cover losses from sanctions, even by injecting into such unrequired projects. In view of the initial unprofitableness of this event, it would be worthwhile to pay attention to the fact that Russia is initially inclined to all positively and is ready for cooperation. Instead of injecting billions of dollars into such projects, it would be possible simply to resume cooperation and equipment supplies, thereby multiplying revenues by larger amounts than planned, even by circumventing sanctions.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News