Following more than a year of front end engineering and development work, Sevan Marine announced today that Dana Petroleum has chosen their proprietary FPSO technology and technical expertise for implementation with the Western Isles offshore field development project.
Carl Lieungh, Sevan Marine’s CEO comments: “We are extremely pleased that our FPSO technology has been chosen by Dana for the Western Isles development project. We have already enjoyed working with Dana during front end engineering and development, and we are looking forward to continuing to provide services to Dana during the execution of the EPC contract.”
The Western Isles Project (Dana 65% and Cieco 35%) will develop two offshore oil fields called Harris and Barra in the Northern North Sea, 160km east of the Shetlands and 12km west of Tern field. It involves a subsea development of at least five production and four water injection wells tied back to a newbuild FPSO with oil export using shuttle tankers.
UK Government sanction is expected towards the end of 2012 followed by placement of the major contracts. Drilling is expected to begin 2013 with subsea installation in summer 2014 and FPSO installation summer 2015. Plateau production is expected to be around 40,000 boepd, adding more than 26,000 boepd to Dana’s UK production. First oil is expected in 2015 and the estimated field life is 15 years.
Paul Griffin, Dana’s UK Managing Director said:
“Western Isles is a very important project for Dana and a key part of our strategy to double daily production to more than 100,000 barrels of oil equivalent by 2016. Work on the detailed engineering design will begin immediately and the project is expected to receive full approval from the UK Government towards the end of 2012, with first oil production expected in 2015.”
Charles Hendry, UK Minister of State for Energy and Climate Change said:
“This is great news for UK energy security and UK jobs and joins a growing list of major North Sea projects announced recently. Dana’s procurement strategy will create opportunities for UK companies to compete for key parts of the project. I’m delighted that Dana has demonstrated its commitment to the UK North Sea and we look forward to receiving the final development proposals.”
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