Statoil in Fram C East Launch
Norway’s Statoil informed that Fram C East has started production to the Troll C platform.
Fram C East is a long production well drilled from the existing Fram subsea template tied back to Troll C.
Gas will be transported to Kollsnes via Troll A, whereas oil will be piped to Mongstad for further processing.
Originally estimated at some NOK 800 million capital expenditures have now been reduced to some NOK 600 million thanks to, according to Statoil, a simple, smart well concept and significantly increased drilling efficiency.
“Fram C East is a small development project, but a key element of our plans to capture maximum value in the Fram area,” says Lars Høier, vice president operations, Troll and Fram.
“We are pleased to see that our targeted efforts to cut costs and improve profitability on the Norwegian continental shelf (NCS) have benefitted this development project. Fram C East has seen profitability rise from good to even better, and will see a positive cash flow as early as in 2016,” Høier adds.
Capital expenditures totalling some NOK 600 million, recoverable resources are estimated at 18.2 million barrels of oil and 1.6 billion sm3 of gas. Profitability is resilient with a low break-even.
