Lundin Petroleum AB unit Lundin Norway AS has received final approval for the plan for development and operation (PDO) for Edvard Grieg oil and gas field offshore Norway from the Norwegian Parliament. The Norwegian Ministry of Petroleum and Energy concurred with the field development plan in April.
The Edvard Grieg is the first stand-alone development project operated by Lundin Petroleum on the Norwegian Continental Shelf. First production from Edvard Grieg field in PL338 is expected in late-2015 with a forecast gross peak production of 90,000 b/d of oil and 1.5 million standard cu m/day of gas.
The capital cost of the Edvard Grieg development including platform, pipelines, and production wells is estimated at $4 billion. The Edvard Grieg platform design capacity will accommodate in excess of 130,000 bo/d and 4 million standard cu m/day of gas when production from DNO ASA-operated Draupne field is combined with that from Edvard Grieg (OGJ Online, Mar. 5, 2012).
Major contracts for the field—jacket, topside, drilling, and marine installation—have already been awarded subject to final PDO approval.
Lundin Petroleum is operator of Edvard Grieg with 50% working interest. Other partners are Wintershall Norge AS 30% and RWE Dea Norge AS 20%.