North Sea Reporter

Published by KL ENERGY PUBLISHING LTD.

North Sea Reporter is an established and respected weekly publication which provides

in-depth news and analysis of the NW European offshore oil and gas industry. 

News

Okea is working to mature a development concept for its Talisker oil discovery made earlier this year in PL55 in the Norwegian North Sea and is talking about a fast-track development that could start production in 2027. The Norwegian independent, in a third-quarter report, said that production wells for Talisker can be drilled from its operated Brage platform. That means there are likely to be minimal investments needed for the new development over and above the costs of drilling and completions, the operator added. The Talisker discovery was confirmed as recently as in August with a well drilled from the platform and is currently estimated to hold 16-33 million barrels of oil equivalent, split between Statfjord and Cook formations. Closer by in Brage, Okea said drilling is under way on the 24-million-boe Bestla development, in 31/7, that is being developed as a subsea tieback to the facility. The company is aiming to complete the two-well development drilling campaign this quarter, leading on to targeted first production in the first half of 2027.

Rig market

A number of upcoming tender opportunities will keep the Transocean rig fleet busy in Europe, West Africa and the Mediterranean in the next few years, Transocean president and CEO Keelan Adamson told a third-quarter earnings call. He said: “In Norway, utilisation of the high-specification harsh environment semi-submersible fleet is expected to remain robust through 2027 as the award for Equinor’s rig tender is expected imminently. This and other projects have starts in 2027, many of which will use contract extensions of the current fleet.” Adamson said that based on current planned programmes in 2027, the drillship and harsh environment semi-submersible markets are projected to reach active utilisation rates of above 95% and close to 100%, respectively. He also outlined upcoming tender opportunities in West Africa. “In Nigeria, the ExxonMobil and Chevron tenders for multi-year developments are well under way and TotalEnergies’ new tender is expected to be released in the coming months. ”

Renewables

Ørsted has signed an agreement under which it is divesting to Apollo-managed funds a 50% stake in the 2.9-GW Hornsea 3 wind farm, off Yorkshire, for around DKr39 billion ($5.6 billion). The deal also covers a commitment from Apollo to fund 50% of the payments under the engineering, procurement and construction (EPC) contract for the wind farm and the offshore transmission asset.  About DKr20 billion of the total transaction value will be paid on closing of the transaction, which is split between a share purchase agreement price of about DKr10 billion, covering both the generation and transmission assets, and an initial payment under the construction agreement also of about DKr10 billion. The remaining amount is expected to be paid under the construction agreement on achievement of certain construction milestones. As part of the agreement, Ørsted will construct the Hornsea 3 project under a full-scope EPC contract as well as provide long-term operations and maintenance services from its East Coast hub.

Weekly coverage includes:

  • Rig Market - contracts, dayrates and utilisation
  • Drilling – a round-up of North Sea activity 
  • Construction and engineering
  • Field development and production
  • Contract awards
  • Company news
  • Data tables of industry activity
  • Mediterranean & W. Africa briefing
  • News briefs