Hydro to develop Oseberg Delta gas field

July 11, 2005
Norsk Hydro ASA has submitted a development plan for Oseberg Delta gas field in the Norwegian North Sea and awarded a $25 million contract to FMC Kongsberg Subsea AS, a subsidiary of FMC Technologies Inc., to supply the subsea systems.

By OGJ editors
HOUSTON, July 11 -- Norsk Hydro ASA has submitted a development plan for Oseberg Delta gas field in the Norwegian North Sea and awarded a $25 million contract to FMC Kongsberg Subsea AS, a subsidiary of FMC Technologies Inc., to supply the subsea systems.

Hydro will develop Oseberg Delta as a subsea setellite to Oseberg field, which lies 8.5 km to the northeast. It will install a single, four-slot wellhead template in 102 m of water and drill two wells during the winter of 2006-07. Two 10-in. pipelines will connect the wells to the Oseberg D platform in the main field complex. A control cable will connect the satellite to the Oseberg A platform.

Oseberg Delta production will flow into the receptor facility used for output from Tune field, another Oseberg satellite. Oseberg Delta output will increase as Tune flow subsides, peaking at 5 million cu m/day of gas.

Hydro estimates Oseberg Delta reserves at 8 billion cu m of gas and 2.7 billion cu m of oil and condensate. It says development, including drilling, will cost 1.8 billion kroner.

FMC will supply and install two horizontal subsea trees, a template manifold, and a production control system, beginning in July 2006. Production is to start in October 2007.

Hydro holds a 34% interest in Oseberg Delta and is operator. Other interests are Petoro AS 33.6%, Statoil ASA 15.3%, Total E&P Norge 10%, ExxonMobil Production Norway Inc. 4.7%, and Norske ConocoPhillips 2.4%.