Statoil, along with its partners, is seeking approval from the Norwegian and UK authorities for the development and operation of the NOK3.5bn ($414m) Utgard gas and condensate discovery in the North Sea.

As part of this effort, the partners have submitted development and operation (PDO) and the field development plan (FDP) for the Utgard field, which is estimated to hold recoverable reserves of 56.4 million barrels of oil equivalent.

Statoil project development senior vice-president Torger Rød said: “Utgard is the first Statoil development in many years producing resources across the median line, and we are pleased to have found good solutions that address considerations for good resource management on both sides.”

The Utgard field development comprises two wells in a standard subsea concept.

Previously called Alfa Sentral, Utgard is a gas and condensate field spanning the UK-Norway median line and located 21km from the Sleipner field. It will be remote-controlled from the Sleipner A platform.

Norwegian Petroleum and Energy Minister Tord Lien said: “The Utgard project contributes to maintaining production and increased recovery on the Norwegian Continental Shelf.

“The project illustrates how measures to improve efficiency and productivity lead to new profitable field developments.”

Planned to commence production by the end of 2019, the Utgard wells will have peak production capacity of approximately 7,000 Sm3 per day of oil equivalent.

Prior to exporting, the gas and condensate produced from the Utgard field will be transported to the Sleipner field through a new pipeline for processing.

Tord Lien added: “The development will use existing infrastructure and the carbon capture and storage (CCS) capacity on the Sleipner field.”

The field is planned to be developed as a tie-back to existing infrastructure on NCS for Sleipner, which is operated by Statoil.

Image: Illustration of Utgard gas and condensate field development in North Sea. Photo: courtesy of Statoil.