Norwegian authorities have given operator Aker BP the go-ahead to start up the Valhall West Flank facility in the North Sea this autumn.
West Flank, a further development of the Valhall field, is an unmanned facility with 12 well slots, and it is tied to the Valhall field center in the southern part of the Norwegian shelf, 290 kilometers from land.
Aker BP is the operator of the Valhall Flank Vest with Pandion as partner.
Aker BP is investing NOK 5.5 billion ($602 million) in Valhall Flank West. The breakeven price for the development is $28.5 per barrel.
The reserves are estimated at 9.6 million standard cubic meters of oil equivalents (approximately 60 million barrels). The reserve estimate is a median value, and indicates some uncertainty regarding how much can be recovered, the Norwegian Petroleum Directorate said.
“Valhall West Flank is an important measure for further exploitation of the resources in a mature field,” said Tove Francke, the Norwegian Petroleum Directorate’s Assistant director for development and operations, North Sea South.
Valhall has produced one billion barrels since the field opened in 1982. Aker BP has said it aims to produce another billion barrels during the next 40 years.