Norwegian energy company Statoil builds up position in North Sea by completing deal with Germany's Wintershall. Graphic: Statoil
STAVANGER, Norway, Jan. 3 (UPI) -- Norwegian energy company Statoil said it moved into the majority position at a field in the northern parts of the North Sea, a focal point for the company.
Statoil, which is partially owned by the Norwegian government, said it closed on a December agreement to take on the 25 percent stake in the Byrding field in the North Sea from a regional subsidiary of German energy company Wintershall. On the close of the deal, Statoil increased its operating interest to 70 percent.
"Byrding is an oil and gas discovery in the northern part of the North Sea, near the Troll/Fram area which represents a focal point of Norway's oil and gas production," the Norwegian energy company said in a statement.
Statoil and its partners in August submitted plans for the development and operations of the Byrding oil and natural gas discovery to regulators. A capital spending target of $120 million will help, through the use of existing infrastructure, exploit a basin estimated to hold as much as 11 million barrels of oil equivalent.
The Norwegian energy company said the Byrding reservoir will complement volumes from nearby operational facilities.
Norway is among the leading oil and natural gas exporters to a European economy looking to lessen its dependence on Russian natural gas reserves. The government reported preliminary data for November show an average production of 2.15 million barrels of oil, natural gas liquid and an ultra-light product called condensate, which is about 2 percent higher than figures from October.
Once Byrding enters into production in the third quarter, any oil and gas pulled from the field would be piped through existing networks. Statoil estimates the field will stay in production for about a decade.
