Utgard on stream – below budget and ahead of scheduleROV at Utgard. Source: Equinor

Utgard on stream – below budget and ahead of schedule

40 MMboe estimated recoverable resources await to be produced at the Utgard field, with a daily production on plateau of around 43 000 boe.

This is the first time Equinor leads a field development for recovering resources across the border between the Norwegian and UK continental shelves.

According to Lotos E&P Norge, hydrocarbons will be produced by two wells tied back to the Sleipner field via a subsea pipeline. The infrastructure is located on the Norwegian side, while the wells are on either side of the boundary line.

Most of the field’s reserves being accumulated on the Norwegian side, Utgard is remotely operated from Norway’s Sleipner field. Utgard also relies on the existing Sleipner facility to process gas and inject the separated CO2 into storage space (a CCS process).

The necessary modifications to the Sleipner facility for Utgard tie-back were made in the third quarter of 2018.

Since discovered in 1982, development has been considered several times. In 2016, Equinor acquired the UK share of the discovery to realize the development.

The reservoir contains gas (high CO2 content, ca. 16%) and condensate, possibly over a thin oil zone, in good quality sandstones in the Hugin Formation of Middle Jurassic age, at a depth of 3,700 m.

The plan for development and operation and the field development plan were submitted in 2016. At that time the cost estimate was NOK 3.5 billion (fixed NOK), and start-up was scheduled for the end of 2019.