Var Energi says it has successfully started production through the Jotun FSPO. This marks the start of a new era for the Balder field in the North Sea, extending the life of the first production licence, PL001, on the Norwegian Continental Shelf, adding high value barrels towards 2045 and beyond.
By bringing the Jotun FPSO onstream, production is expected, within three to four months after start-up, to increase by approximately 80 thousand barrels of oil equivalent per day (kboepd) gross, on top of the current production of approximately 30 kboepd gross through the Balder FPU and Ringhorne facilities. The Jotun FPSO will have a low operating cost of around USD 5 per barrel and estimated gross proved plus probable recoverable reserves from the project at 150 million barrels of oil equivalent (mmboe).
All 14 production wells have been completed and will be brought onstream during the ramp-up period to reach peak production. Together with the Balder Phase V project starting up later this year, the project has a payback time of around two years (from production start-up). In addition, with the Jotun FPSO installed as an area host, Vår Energi is taking necessary steps to add new production through infill drilling, exploration and tie-back developments with short time to market.
Var Energi is operator (90%) of the Balder field, with Kistos Energy Norway AS as partner (10%).
About Var Energi
Var Energi is a leading independent upstream oil and gas company on the Norwegian continental shelf (NCS) with over 50 years of NCS operations. Var Energi has around 1400 employees and equity stakes in 42 producing fields. It's headquarters are based outside Stavanger, Norway, with offices in Oslo, Hammerfest and Floro.