Flyndre rewards Maersk as first oil flows

Success for UK-Norwegian work

Production has started from the Maersk-operated Flyndre field, which straddles theUKandNorwegian sectors of the North Sea.

First oil began to flow at 8pm on Sunday, travelling 15.5 miles via pipeline to the Repsol Sinopec-operated Clyde platform. Daily production is expected to peak at around 10,000 barrels of oil equivalent (boe), with the field expected to produce until at least 2023.

Maersk Oil chief executiveGretchenWatkins said: “Flyndre first oil represents new production for both the UK and Norway and we’re pleased to have worked with partners on both sides of the border to deliver this development.”

The field, lying about 180 miles south- east of Aberdeen and 200 miles south-west of Stavanger, was discovered in 1974. It was developed as a subsea tie-back to Clyde, with a single production well.

The export route from Clyde is via the Repsol Sinopec-operated Fulmar platformandontoTeesside via the Norpipe system.

Ms Watkins said: “By combining experience and strong technical capabilitiesMaersk Oil is helping to engineer a bright future across the North Sea.”

Clyde asset manager Georg Vidnes said: “This is a significant achievement for us and, importantly, allows us to maximise economic recovery from the Clyde field. We anticipate that the additional production from Flyndre will extend the life of Clyde well into the next decade.”

Repsol Sinopec Resources UK managing director Bill Dunnett added: “This is an important landmark in the ongoing transformation of our business which, when followed by furthernewproduction in the near future, will help consolidate our operations in theNorth Sea for the long term.”

Partners in Flyndre are Maersk UK ( 65.941%), RSRUK (22.739%), Repsol Sinopec North Sea (4.24%), Maersk Norway (6.255%), Statoil Petroleum (0.471%) and Petoro (0.354%).

Meanwhile, Jersey Oil and Gas has welcomed

figures showing biggerthan-expected reserves for two UK North Sea assets. The firm has an 18% stake in blocks 20/5b& 21/1d and associated prospects Verbier and Cortina.

An independent assessment of the resource estimates has increased expected recoverable reserves for Verbier to 162million boe, from 118million boe previously. Theestimate for Cortina has increased to 124million from 91million.