On 16 December 2020, Equinor, as Operator of Statfjord Øst Unit and on behalf of the partners, issued a written notification of material changes to the Plan for Development and Operation for Statfjord Øst.
The partners in Statfjord Øst have decided to invest NOK 3 billion in the North Sea Statfjord Øst field to improve recovery by 23 million barrels of oil equivalent, through what is referred to as the Statfjord Øst gas lift project.
The gas lift project comprises of a new gas lift pipeline system, modifications on the host platform Statfjord C to supply lift gas, and four infill wells, drilled from existing subsea well slots on Statfjord Øst templates L and M. The project will be executed by Equinor’s new FLX (Field Life Extension) organization. Production start is scheduled for 2024.
The Statfjord Øst field is based on a joint development and production agreement between production licenses PL037 and PL089, and Idemitsu Petroleum Norge’s (“IPN”) share in Statfjord Øst Unit is 4.8%. The existing Statfjord Øst development comprises subsea installations that include three templates, tied back to the Statfjord C platform, as well as long reach wells from Statfjord C. The field is located five kilometres north-east of Statfjord C.
The field came on stream in 1994, and the original oil volume in place on Statfjord Øst was 415 million barrels of oil. The current recovery factor is 56 percent, and according to the operator’s estimate an increase to 62 percent is expected as a result of this project.
“IPN is pleased to see that Equinor has managed to revitalize the Statfjord area and Statfjord Øst specifically. The gas lift project will significantly extend the economic lifetime of Statfjord Øst, which was earlier anticipated to cease production by end of 2025. The project will also indirectly have a positive impact on our Sygna asset and enable potential further value creation in the area”, says IPN’s Managing Director Mr. Futoshi Tsuneyama.