Statoil ASA (ADR) (NYSE:STO) has recently added the Visund North field to its portfolio where production has just started up. Visund North field is located in the North Sea and is prolific in both oil and gas.

Statoil Adds A New Field To Its Portfolio - Visund North

Statoil’s fast track projects

Statoil ASA (ADR) (NYSE:STO) had earlier announced 12 fast track projects and Visund North is one of them. It is the sixth project to come online and follows the successes in Visund South. Visund North field contains total recoverable reserves of 29 million barrels of oil equivalent (boe) while investment in the field to date is estimated at NOK 3.3 billion.

“Completion of the first production well as well as a production shutdown at the Visund A platform gave us some challenges, but in spite of this we are starting production only 3-4 weeks after the scheduled startup established two years ago. This is also taking place within the investment frame and without serious HSE incidents,” stated Hogne Pedersen, Statoil Visund North field development head.

Visund South field exploration and development

The approach of Statoil ASA (ADR) (NYSE:STO) towards field development in Visund North has been similar to its approach in Visund South. The expertise gained from Visund South field exploration and development has allowed Statoil to bring the production online quickly. Furthermore, the participants of the Visund license have maintained strong cooperation and good relationships with the authorities and amongst themselves. This allowed prompt decision-making and efficiency in the field development process and sped up the process.

“Visund North has been developed by a standard, four-well subsea template. The oil is transported in a new pipeline to the Visund A platform for processing via a pipeline manifold and a new subsea safety integrity valve under the platform,” reports Statoil.

“We managed the challenges we met in the installation phase through the excellent cooperation with our suppliers and the Statoil project team,” said facility project manager Anne Fausa.

“Production from Visund North is a significant part of the production from the Visund field and contributes to the extension of the economic lifetime of the Visund A platform. In addition new resources in the northern Visund area has been proved with the Rhea discovery in January 2013 which was drilled by an exploration pilot from one of the Visund North wells,” testified Tom Karsten Gustavsen, Statoil vice president for Kvitebjørn, Visund and Grane.

Statoil’s other fast-track portfolio

The other five fields in the fast-track portfolio which have already commenced production besides Visund North include Skuld, Stjerne, Vigdis North-east, Hyme and Visund South. The remaining seven fields which have been committed by Statoil to the fast track portfolio include Vilje South, Fram H-North, Svalin C, Gullfaks South oil, Oseberg Delta 2 and Gullfaks Rimfaksdalen.

“Visund North is a good representation of the integration of the different areas within Statoil ASA(ADR) (NYSE:STO)’s fast track strategy. Through the different phases of the field development the profitability has been strengthened, improvements implemented and the cooperation developed and improved,” states Halfdan Knudsen, vice president for Statoil’s fast track portfolio.

Statoil ASA(ADR) (NYSE:STO) has promised that the twelve fast track fields will add 100,000 boe per day to the portfolio of Statoil by the end of 2014.