Norway’s state-owned energy giant Equinor has started production from a subsea field in the Barents Sea, from which gas is transported to a liquefied natural gas (LNG) plant on Melkøya island for processing.
Disclosing the start of production at Askeladd Vest (West) on September 19, Equinor noted the field will contribute to the continued production from the Hammerfest LNG processing plant. This onshore plant that processes the natural gas from the Snøhvit field is said to be the only plant in Northern Europe producing and exporting LNG.
Hammerfest LNG produces 6.5 billion standard cubic metres of gas each year, which is about 5% of Norway’s total gas exports, and around 2% of the EU’s gas demand. About 700 people work at Melkøya, and custom-built LNG vessels leave Melkøya every five days to transport cooled liquid gas to European markets.
“Askeladd Vest is an important step in the development of the Snøhvit field and will help maintain full production at Hammerfest LNG until onshore compression starts as part of the Snøhvit Future project in 2028,” said Grete B. Haaland , Equinor’s Senior Vice President (SVP) for Exploration and Production North.
Askeladd West consists of two wells in a new subsea template tied back to Askeladd , Snøhvit’s satellite field that came on stream in 2022 , 41 years after it was discovered. The gas from Askeladd West travels through 195 kilometers of pipelines to Melkøya, which is also connected to Snøhvit via a 143-kilometer pipeline.
According to the Norwegian player, recoverable volumes from Askeladd West total about 15 billion standard cubic metres of gas, and the investments amount to just over NOK 3 billion, or around $300,000 million.
Snøhvit is a gas and condensate field discovered in 1984. Producing since August 2007, this was the first field development in the Barents Sea, as stated by its operator. The field has been developed in phases to maintain full production at Hammerfest LNG.
A total of 18 wells have been drilled on Snøhvit, 16 producers and two wells for reinjecting carbon dioxide (CO2). Askeladd West forms part of the original plan for the field’s phased development and operation.
The Snøhvit Future project aims to secure energy supply to Europe towards 2050 through onshore compression and electrification of the Hammerfest LNG. This is envisaged to cut emissions and extend the life of the Snøhvit field.
Equinor is the field’s operator and 36.79% interest holder, with partners Petoro (30%), TotalEnergies EP Norge (18.40%), Vår Energi (12%), and Harbour Energy Norge (2.81%).
Vår Energi COO, Torger Rød , congratulated Equinor on the safe start-up of Askeladd West.
“The field will contribute with reserves of around 11 million barrels of oil equivalent net to Vår Energi, and further enhances our position as a key player in the Barents Sea. Norway is a key provider of gas to Europe, and Vår Energi plays a significant role in this, as one of the country’s largest exporters of gas,” noted Rød.
This comes on the heels of the clearance Equinor received for drilling the wellbore 6407/1-B-2 H, known as the Tyrihans East prospect, using the Transocean Encourage semi-submersible rig. The assignment is expected to start in October.