Norway Gives Lundin Green Light on Solveig PDO
Lundin Petroleum announced June 26 that Norway has approved its plan for development and operation (PDO) for the Solveig field.
The final approval from the Norwegian petroleum ministry will allow the Swedish oil and gas independent to start the first tie-back development project to the Edvard Grieg platform on the Utsira High, Norway.
First oil from Solveig phase 1 in PL359 is expected in the first quarter of 2021 with a forecast gross peak production of 30mn barrels of oil equivalent/day. Phase 1 capital cost is estimated at $810mn. The project consists of three horizontal oil production wells and two water injection wells.
The contract for the modification of the Edvard Grieg field facilities has been awarded to Rosenberg WorleyParsons and the subsea system contract has been awarded to TechnipFMC under a lump sum engineering, procurement, construction and installation contract (EPCI). Drilling work will be undertaken using the West Bollsta high specification semi-submersible rig, operated by Seadrill.
Lundin is the operator of Solveig with a 65% working interest. Its partners are OMV (20%) and Wintershall DEA (15%), equal to their stakes in Edvard Grieg.
Lundin Petroleum CEO Alex Schneiter commented: “This is our first tie-back project to Edvard Grieg and is an important part of the future for the Greater Edvard Grieg Area solution…. I look forward to reporting on its progress as we head towards first oil in early 2021.”