July 10, 2012 Leave a comment
Above is a map of the Barents Sea, Norway. Active and inactive production licensing blocks are shown along with the illustrated Norway – Russia maritime delimitation agreement that entered into force on the 7th of July, 2011.
Norwegian Production Licensing Rounds – Currently in Round 22
The next licensing change, with the exclusion of relinquishments and share transfers, will take place in Q1 of 2013 as Norway awards production licenses as part of the 2012 APA (Awards in Predefined Areas), for which the application deadline is the 6th of September, 2012. The APA round applies to mature sections of the continental shelf that are both understood geologically and situated near developed infrastructure.
The succeeding change will take place in mid-2013 as the Norwegian Government awards new production licenses for the general 22nd licensing round, for which the application deadline is the 4th of December, 2012.
For a licensing round history dating back to 2000, visit ‘Licensing Rounds on the Norwegian Continental Shelf‘ from the Norwegian Ministry of Petroleum and Energy.
Fields – Oil, Gas, and Condensate
Snøhvit – Discovered in 1984 and on stream in August, of 2007, Snøhvit is the only developed field within the Barents Sea, Norway. The field encompasses seven different production licenses, and is lumped in with two other deposits, the Askeladd and Albatross structures. Gas from the Snøhvit field is piped through a pipeline (see map) to the Melkøya Island LNG liquefaction plant in Hammerfest, Norway. The resultant liquid natural gas (LNG) is transported to markets around the world via LNG tankers.
- Under sound production levels, a loaded 150,000 m3 LNG tanker will depart from Hammerfest every 5 to 6 days.
- Separated CO2 is transferred back to the Snøhvit field to be re-injected into a porous sandstone layer called the Tubåen formation located 2.5km below the seabed. It is worth noting that this carbon capture program is being financed, in part, by the EU as all is carefully being monitored to assess the viability of similar projects for the future.
- As of 31.12.2010, recoverable reserves were estimated to be 149.8 billion sm3 gas, 5.8 million tonnes natural gas liquids (NGL)*, and 16.1 million sm3 gas condensate.
- Ownership – Statoil (36.79% operating share), Petoro (30% share), Total E&P Norge (18.4% share), Gaz de France (12% share), and RWE Dea (2.81% share)
Goliat is currently being developed with production set to begin in Q4 of 2013.
- Recoverable oil reserves are estimated to be 28 million Sm3 (174 million barrels), while recoverable gas reserves are estimated to be 8 billion Sm3. Field life is estimated to be 15 years.
- Ownership – Eni Norge AS (65% operating share), and Statoil Petroleum AS (35% share)
*Natural Gas Liquids (NGL) are mixtures of liquid hydrocarbons such as butane, condensate, ethane, and propane. This is not to be confused with Liquid Natural Gas (LNG).
- Statoil – Snøhvit – http://www.statoil.com/en/OurOperations/ExplorationProd/ncs/snoehvit/Pages/default.aspx
- Norwegian Petroleum Directorate – Snøhvit – 04, July, 2011 – http://www.npd.no/Templates/OD/Article.aspx?id=3779&epslanguage=en
- Ministry of Petroleum and Energy – Licensing Rounds of the Norwegian Continental Shelf – http://www.regjeringen.no/en/dep/oed/Subject/Oil-and-Gas/licensing-rounds-on-the-norwegian-contin.html?id=481292
- Norwegian Petroleum Directorate – Production License Block Information – July, 2012 – http://www.npd.no/