2011 will always be remembered for the major finds on the Norwegian continental shelf (NCS), while at the same time we have completed a great year with regard to improved recovery. We have matured more volumes through improved recovery efforts than the Skrugard and Havis finds combined," says Øystein Michelsen, executive vice president for the NCS.
This is the second high-impact discovery in the North in nine months.
Well 7220/7-1, drilled by the drilling rig Aker Barents, has proved a 48 metre gas column and a 128 metre oil column.
The Aker Barents drilling rig
Statoil estimates the volumes in Havis to be between 200 and 300 million barrels of recoverable oil equivalents (o.e.). The provisional, updated total volume estimate for the Skrugard and Havis discoveries in PL532 is in the region of 400-600 million barrels of recoverable oil equivalents.
“Havis is our second high impact oil discovery in the Barents Sea in nine months. The discovery’s volume and reservoir properties make it Skrugard’s twin. Skrugard and Havis open up a new petroleum province in the North,” says Helge Lund, President and CEO of Statoil ASA.
Havis lies approximately 7 kilometres southwest of the Skrugard discovery, made in April of last year. Havis lies within the same production licence, but forms an independent structure. There is no communication between the two discoveries.
|Skrugard Havis map|
The discovery provides further confirmation of Statoil’s faith in the exploration potential of the Norwegian continental shelf, and makes an important contribution to the revitalisation of the NCS in line with what was communicated at Capital Markets Day in June of last year.
Statoil delivered six plans for development and production and matured around 560 million barrels of oil equivalent Statoil shares for the large NCS projects during 2011.
Of these volumes 420 million barrels of oil equivalent are the result of improved recovery alone.
"Statoil's main improved recovery projects in 2011 were Troll 3 & 4 compressors and Åsgard subsea gas compression," says Michelsen.
"They accounted for 350 million barrels of oil equivalent in improved recovery alone for Statoil. In addition we have the volumes resulting from our drilling and well activities and improved recovery from small and large modification projects on our NCS installations."
The total investments on Troll and Åsgard subsea compression amount to NOK 26 billion.
Siri Espedal Kindem, Statoil's head of technology.
"Åsgard subsea gas compression will be the world's first subsea compressor and is a good example of how pioneering technology can help extend the life of our existing NCS fields. We want more technology breakthroughs and is stepping up our technology effort," says Siri Espedal Kindem, Statoil's head of technology.
Statoil's research activities have been increased by 27% and will amount to NOK 2.8 billion in 2012. Furthermore the company plans to expand the research centre at Rotvoll in Trondheim to accommodate the largest improved recovery centre in Norway.
Improved recovery is also key in Statoil's new technology strategy in which four prioritised technology areas have been identified:
Seismic imaging and interpretation.
Reservoir characterisation and recovery
Drilling and well construction
Subsea production and processing
"Technology for better reservoir understanding can alone add reserves of 1.5 billion barrels of oil equivalent to our global portfolio by 2020. In addition we will focus on technology that will reduce drilling time by 30% and drilling costs by 15% by 2020. If we succeed in developing a subsea factory, it will lead to improved recovery, reduced costs and lower energy consumption in the further development of the NCS," says Kindem.