Statoil has submitted a plan for development and operation of Trestakk discovery on the Halten Bank to the Norwegian Ministry of Petroleum and Energy.
The capital expenditures for this plan are estimated to be Nkr5.5 bn ($670m).
Discovered in 1986, Trestakk contains approximately 76 million barrels of recoverable oil equivalent, primarily oil.
The project will be tied back to the Åsgard A oil production vessel, with planned production startup expected in 2019.
Statoil head of project development Torger Rød said: “Trestakk is a good example of what is possible to achieve through spending time on working toward the best concept selection.
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“By rethinking our concept along with licence partners and suppliers, we have arrived at a solution that costs almost 50% less than the original concept. At the same time, we have been able to increase the recoverable resources significantly.”
The first investment estimates were Nkr10bn, which was revised to Nkr7bn after the concept selection in January 2016.
Finally, the investment was reduced to Nkr5.5bn after additional improvements to the plan and concepts.
The concept selection comprises a template structure and an attached satellite well that would be tied back to Åsgard A.
Three production wells and two gas injection wells were planned to be drilled for a total of five wells.
Statoil senior vice-president for operations Siri Espedal Kindem said: “Volumes from Trestakk are an important contributor to ensure that operations on the Åsgard A production ship are extended towards 2030 and that more of the original volumes from the Åsgard field can be extracted.”
“The Norwegian supplier industry has in recent years shown a great ability to find good, cost-effective solutions that have made it possible to realize projects such as Trestakk, even though the oil price is low.”
Image: Graphical representation of Trestakk Plan. Photo: courtesy of Statoil.