The decision comes as Maersk has not yet identified economically viable solution for the full recovery of the remaining resources in the Denmark’s largest gas field.

Despite investing more than DKK1bn ($141.3m), the Tyra facilities cannot safely continue production due to due to new knowledge on storm wave impact.

The production is also identified to be impacted by subsidence of the underground chalk reservoir which reduces the gap between the platforms and the sea.

The Tyra field is operated by Maersk Oil on behalf of the Danish Underground Consortium (DUC). Other partners in DUC include A.P. Moller – Maersk with 31.2% stake, Shell 36.8%, Nordsøfonden 20% and Chevron 12%.

Maersk Oil COO Martin Rune Pedersen said: “Tyra has since 1984 been the main hub for gas production and processing in the Danish North Sea.

“The Tyra facilities are approaching the end of their operational life, and together with our partners in DUC we have assessed solutions for safe decommissioning and possible rebuilding of the Tyra facilities.”

In April, the company said that the Tyra field are approaching the end of their operational life.

Pedersen added: “We have not yet found an economically viable solution for full recovery of the remaining resources in the Tyra field, and safe decommissioning of Tyra will therefore be commenced with the perspective of ceasing production on 1 October 2018.

“In January 2017 we will have to reallocate resources from Tyra rebuild planning to engineering work for a detailed plan to discontinue the Tyra field as the Danish hub for gas processing.”

Image: The Tyra field is located in the Danish part of the North Sea. Photo: courtesy of Maersk Oil.