Noreco develops the Nini East field
Stavanger, 26 May, 2008: Norwegian Energy Company ASA (OSE:NOR), The development of the Danish Nini East field is sanctioned by all the license partners and contracts for construction are issued. Noreco owns a 30% stake. When production Noreco's net daily oil production will increase by 3,300 oil barrels.
- The Nini East field has estimated oil reserves of approximately 17 million barrels. Noreco's share is 5.1 million barrels. We expect to start production from Nini East by the end of 2009. This field adds additional production into the Siri complex where we are now a 50% owner says CEO of Noreco Scott Kerr.
Nini East is one of 15 discoveries in Noreco's portfolio. The field is a part of the Nini license where DONG Energy is operator. It is situated within the Siri area comprising the Siri, Nini, Cecilie and Rau fields. Noreco has ownership in all fields, and recently strengthened its position in the area through the acquisition of Talisman Oil Denmark, which increased the company's stake in the Siri field to 50%.
- The Nini East field could extend the production from the Siri area until 2020, says Scott Kerr.
- The Nini East field has estimated oil reserves of approximately 17 million barrels. Noreco's share is 5.1 million barrels. We expect to start production from Nini East by the end of 2009. This field adds additional production into the Siri complex where we are now a 50% owner says CEO of Noreco Scott Kerr.
Nini East is one of 15 discoveries in Noreco's portfolio. The field is a part of the Nini license where DONG Energy is operator. It is situated within the Siri area comprising the Siri, Nini, Cecilie and Rau fields. Noreco has ownership in all fields, and recently strengthened its position in the area through the acquisition of Talisman Oil Denmark, which increased the company's stake in the Siri field to 50%.
- The Nini East field could extend the production from the Siri area until 2020, says Scott Kerr.
Noreco owns 30% of the Nini license, RWE Dea owns 30% and the operator DONG Energy owns a 40% stake. All three license partners have now sanctioned the development of Nini East. The Danish Energy Authority approved the plan for development and operation in February this year.
The license partners' total investment in the Nini East field is DKK 2.1 billion. This includes a pipeline between Nini and Nini East and drilling of additional wells after production start-up. Like the Nini and Cecilie platforms, Nini East will be an unmanned satellite platform. From Nini East the oil is sent via Nini to the Siri platform for further treatment and shipping. The new production platform will be constructed 7 kilometers northeast of the existing platform Nini.
The operator DONG Energy has signed contracts with Acergy regarding pipelines and with Bladt Industries regarding the construction and installation of the platform.
For further information, please contact:
Scott Kerr, CEO (+47 992 83 890)
Einar Gjelsvik, Vice President Investor Relations (+47 992 83 856)