Norway’s Petroleum Safety Authority (PSA) has given nod to Aker BP to connect Oda field to the Ula field.
The Oda field, which is operated by Centrica Resources, will be developed as a subsea facility connecting to the Ula field that is operated by Aker BP.
In 2011, the Oda field was discovered in the southern part of Norwegian sector of the North Sea. It is in shallow water, with around 13km east of the producing Ula field.
Faroe Petroleum, along with its partners, has submitted Oda field development plan to Norwegian Ministry of Petroleum and Energy in November 2016.
Centrica holds 40% stake in Oda field, while other stake holders include Suncor Energy Norge with 30%, Faroe Petroleum 15% and Tullow Oil Norge 15%.
Expected to cost between £500m and £600m, the development project involves a 4-slot seabed template with two production wells, and one water injection well, which that will be tied back to the Ula platform.
The production from the Oda field is expected to begin 2019.
Oil will be transported through the Norpipe system to the Teesside Terminal in the UK, while the gas will be sold at the platform to Ula for re-injection into the Ula reservoir to improve recovery.
Ula oil field is located in block 7/12 (PL019A) in the southern Norwegian section of the North Sea.
The Ula field infrastructure includes three platforms for drilling, production and accommodation. The three platforms are interlinked by bridges.