Statoil has submitted a development plan for the Snorre Expansion Project to the Norwegian authorities.

Contracts worth up to NOK9bn ($1.07bn) will be awarded for the expansion of the Snorre field, located in the Tampen area, 150 km west of Florø in Norway.

The expansion is expected to enable production from the Snorre field beyond 2040. Originally, the life of Snorre A was expected to last until 2011–2014.

In addition, the investment is anticipated to increase recovery from the field by close to 200 million barrels.

Statoil Norway development and production executive vice president Arne Sigve Nylund said: “Long-term activity and value creation on the NCS is central in our strategy.

“Snorre Expansion is the largest improved oil recovery project (IOR) on the NCS, and provides valuable production and activity benefitting the company, partners and society.

“Investment costs slightly exceed NOK 19 billion, and the PDO involves a comprehensive subsea development, upgrading of the Snorre A installation, increased gas injection and gas import for injection.”

Statoil has also signed contracts for the subsea production system with TechnipFMC, Subsea 7, Aibel and Transocean.

While TechnipFMC will supply a subsea production system for the expansion project, Subsea 7 will provide fabrication and installation of the pipeline bundle system.

Subsea 7 said that it produce the pipeline bundle system at its fabrication facilities at Wick, Scotland.

However, all contracts are subject to final approval of the development plan by Norwegian authorities.

Production from the Snorre Expansion project is planned to start in 2021.

It will be operated and maintained by the existing Snorre organisation in Stavanger. Supplies will be managed Fjordbase in Florø.

While Statoil Petroleum holds 33.27% stake in the Snorre field, Petoro and ExxonMobil Exploration and Production Norway own 30% and 17.44% stake.

The other partners of the field include Idemitsu Petroleum Norge with 9.6% stake, DEA Norge with 8.57% and Point Resources with 1.1%.


Image: The expansion is expected to enable production from the Snorre field beyond 2040. Photo courtesy of Statoil ASA.