The Norwegian Ministry of Petroleum and Energy has approved Equinor and its partners’ plan for development and operation (PDO) of the NOK7.8bn ($920m) Troll Phase 3 development in the North Sea.
According to Equinor, the Troll Phase 3 development is expected to extend the production of the Troll field to 2050 and beyond.
The Troll field, which has been in production since 1995, has earned an estimated NOK1400bn ($164.97bn), said the Norwegian oil and gas giant. Located nearly 80km west of Bergen, the field is contained in water depth of 300-340m.
The PDO for the Troll Phase 3 development, which was submitted in July, calls for the development of the large gas reserves contained in the western part of the offshore Norwegian field.
As part of the project, Equinor and its partners plan to install a subsea development system, made up of two subsea templates with each having four well slots, along with eight production wells and a tie-in to the Troll A platform.
The Troll Phase 3 development, which will be powered from shore via the Troll A platform, is slated to enter into production in the first half of 2021.
Equinor project management senior vice president Torger Rød said: “With a break-even of less than USD 10 per barrel, Troll Phase 3 is one of the most profitable and resilient projects ever in our company.
“Thanks to the PDO approval Equinor and its partners can now deliver another 2.2 billion barrels of oil equivalent from the field with a CO2 intensity of 0.1 kilo per barrel.”
Equinor is the operator of the Troll field with a stake of 30.58%. It is partnered by Norwegian government-owned Petoro (56%), Norske Shell (8.10%), Total E&P Norge (3.69%) and ConocoPhillips Skandinavia (1.62%).
In May, the Troll field partners awarded a NOK1bn ($117.8m) contract to Aker Solutions for the delivery of a new processing module for the Troll Phase 3 development. Aker Solutions was also given a contract to provide subsea facilities for the project.
Nexans, Deep Ocean, IKM, Allseas and Marubeni were also given NOK950m ($111.94m) worth contracts by the partners for marine installations and subsea facilities for the Troll Phase 3 project.