The NOK5.5bn ($665.51m) project is planned to be developed using five subsea wells, including three production wells and two gas injection wells, which will be tied back to Åsgard A oil production vessel.

Scheduled to be commence production in 2019, the field is estimated to hold about 76 million barrels of recoverable oil equivalent, mainly oil.

The partners have reduced the investment cost for the project from initial estimates of around NOK10bn ($1.2bn) to NOK7bn ($849.5m) when the concept selection was made earlier this year.

Statoil project development head Torger Rød said: “By rethinking our concept along with license partners and suppliers, we have arrived at a solution that costs almost 50% less than the original concept.

“At the same time, we have been able to increase the recoverable resources significantly,”

The cost estimate of the project has further been reduced to about $665.5m with additional improvements and concept adaptations. 

Statoil North operations senior vice-president Siri Espedal Kindem said: “Volumes from Trestakk are an important contributor to ensure that operations on the Åsgard A production ship are extended toward 2030 and that more of the original volumes from the Åsgard field can be extracted.”

Located in production license PL091, the field is operated by Statoil with 59.1% ownership interest. Other license partners include Eni Norway with 7.9% stake and ExxonMobil with 33% interest.

Rød added: “The Norwegian supplier industry has in recent years shown a great ability to find good, cost-effective solutions that have made it possible to realize projects such as Trestakk, even though the oil price is low.”

The Trestakk is expected to produce 22.2GSm³ of gas over its approximately 13 years of operational life.

Image: Illustration of the Trestakk field development offshore Norway. Photo: courtesy of Statoil.