Scandinavian oil producer Statoil has informed the Ministry of Petroleum and Energy in Norway that plans to develop its majority owned Tyrihans oil and gas field will cost $2.2 billion to implement.

Statoil has submitted the $2 billion, equivalent to NOR14 billion, estimate through a plan for development and operation (PDO). The project will result in the construction of five subsea templates, including one for seawater injection, and with wellstream processing on Statoil’s Kristin platform.

The PDO also envisages a total of 12 wells, including nine for production, two for gas injection and one for injecting unprocessed seawater. Tyrihans is scheduled to come on stream in 2009, when spare capacity will be available on the Kristin installation.

Statoil and its minority partners Total, Norsk Hydro, Eni Norge and ExxonMobil are expecting to yield recoverable reserves of about 182 million barrels (29 million cubic metres) of oil and condensate and 34.8 billion cubic metres of rich gas from the Tyrihans site.

Gas from Tyrihans will be exported via Kristin and the Asgard Transport trunkline to Karstoe north of Stavanger, while oil and condensate will be stored on the Asgard C vessel for export by ship.