Hurricane Energy has been given approval to move forward with its West of Shetland fractured basement Lancaster field early production system (EPS).
The Lancaster EPS is a two-well tieback to a floating production, storage and loading facility, Bluewater Energy Service's Aoka Mizu. It is expected to produce 17,000 b/d and provide data required for a full field development for the 500 MMbbl field.
Procurement and fabrication work has already started on the subsea equipment, from TechnipFMC, and mooring buoy. The drilling contractor is Transocean.
Dr Robert Trice, Hurricane CEO, said: “With funding and regulatory approvals in hand, we can now fully focus on delivering the project within the target timeline of first oil in 1H 2019.
"The Lancaster EPS is not only an essential step in planning for the full field development of the company’s Rona Ridge assets, but also represents a substantial development in its own right, with planned production of 17,000 bo/d. This is an important step in demonstrating the potential of basement West of Shetland and in the UKCS more generally."
The Aoka Mizu is due in Dubai for upgrade work before its deployment on the field. The vessel previously worked on Nexen's Blackbird and Ettrick fields in the UK North Sea. Work has also started on the fabrication of a mooring buoy, also in Dubai.
A rig contract was signed with Transocean for use of the Paul B. Loyd Jr. semisubmersible drilling rig to complete the already drilled EPS production wells 205/21a-6 and 205/21a-7Z horizontal production wells, starting in Q2 2018.
Fabrication orders have also been placed with TechnipFMC for subsea, umbilicals, risers and flowlines and subsea production systems.
Subsea installation activities at Lancaster are scheduled for summer 2018, in advance of the planned arrival of the Aoka Mizu.
The moves follow a successful raising of US$520 million to fund the project last month.
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