OKEA proposes to halt certain North Sea developments

OKEA ASA decided to propose to Vette license holders to not develop the North Sea discovery further. The project, in PL 972, lacks financial robustness, the company said in an Oct. 12 release.

The project, in PL 972 lacks financial robustness, the company said in an Oct. 12 release. OKEA took over operatorship of the project earlier this year and had been maturing the discovery towards a development decision (OGJ Online, Dec. 18, 2020).  

Additionally, the company has worked to improve economics of the Greyling-Storskrymten discoveries over the last few years. Reductions in breakeven costs have been achieved, but it is deemed insufficient to warrant a stand-alone field development, OKEA said. Because the operator was targeting a joint serial development of the Vette discovery with the Greyling-Storskrymten discoveries, the decision to halt further development of Vette implies that the operator is likely to halt further development of Grevling-Storskrymten.

OKEA is operator at PL972 (40%) with partners ONE-Dyas Norge AS (30%) and M Vest Energy AS (30%). OKEA is operator of Grevling in PL038 D (35%) with partners Chrysaor Norge AS (35%) and Petoro AS (30%). OKEA also is operator of Storskrymten in PL974 (60%) with license partner Chrysaor Norge AS (40%).