Buzzard development plan approved; production expected in 2006

Jan. 6, 2004
EnCana (UK) Ltd. and partners said they expect to produce first oil in late 2006 from Buzzard oil field, following UK Department of Trade and Industry approval of the field development plan in late November.

By OGJ editors

HOUSTON, Jan. 6 -- EnCana (UK) Ltd. and partners said they expect to produce first oil in late 2006 from Buzzard oil field, following UK Department of Trade and Industry approval of the field development plan in late November. EnCana said gross production is expected to reach a plateau of 180,000-190,000 b/d of oil in 2007 from the field, the largest discovered in the North Sea in the past decade.

Buzzard has total recoverable reserves estimated at more than 400 MMboe based on eight wells and sidetracks drilled on the structure since the discovery was made in 2001 (OGJ Online, June 24, 2002). The field, which straddles license areas P986 (Blocks 19/10 and 20/6) and P928S (Blocks 195a and 20/1S), is in about 100 m of water 100 km northeast of Aberdeen and 55 km off Peterhead.

Development plans
The $2 billion development plan for Buzzard calls for construction of three bridge-linked, fixed steel platforms supporting facilities for drilling, production, and utilities and accommodations. Platform fabrication is slated to begin the first quarter of this year. There also will be two subsea water injection manifolds 2 km from the platform with 16 water injection wells.

Crude oil will be transported to the UK mainland via a 28 km, 18-in. oil pipeline to the nearby Forties mainline to Cruden Bay, and natural gas will flow to the UK through a 29 km, 10-in. pipeline to the Frigg pipeline. Installation of the pipeline connecting lines will begin this summer.

The field will be produced through 27 production wells, 8 of which will be available for the production startup.

"When completed, Buzzard is expected to be a hub for a number of existing and potential discoveries in the area, where EnCana has a significant acreage position as operator of several surrounding blocks," said Alan Booth, EnCana UK's managing director. "We plan to enhance this major development through an ambitious and focused exploration program designed to capture additional, neighboring reserves that we hope will keep Buzzard running at capacity for many years."

EnCana UK, with 43% interest, is operator of the field. Partners are Intrepid Energy North Sea Ltd. 30%, BG Group 22%, and Edinburgh Oil & Gas PLC 5%. The coventurers have signed an area operating agreement permanently fixing the equity in the two licenses covering Buzzard field.