Engie E&P UK and partners Centrica and Bayerngas have seen first gas from the Cygnus development exported to the Bacton gas terminal in North Norfolk.
Cygnus, located in licence areas P1055 & P1731, 150 kilometres off the coast of Lincolnshire, is expected to contribute 5% of UK gas production – supplying sufficient gas to heat the equivalent of 1.5 million UK homes.
The project added approximately £1.3 billion to the UK economy and supported nearly 5,000 jobs during its five year development period, ENGIE noted.
Ruud Zoon, managing director of ENGIE E&P UK, said: “First gas from Cygnus represents a significant boost to the UK’s long term energy security, with an estimated production life exceeding 20 years. Furthermore, with over 80% of the contract work secured by British businesses, including fabrication yards in Hartlepool, Methil and Burntisland, it is a showcase for the technical and commercial excellence of the UK oil and gas supply chain.”
The Cygnus complex, with four platforms, a total of 10 wells and two subsea structures, serves an estimated field size of 250 square kilometres from which it is expected to achieve plateau production of 250 million cubic feet per day.
The partners are said to be evaluating further opportunities in the Greater Cygnus area with the aim of bringing additional volumes through Cygnus when capacity becomes available.
Andy Samuel, chief executive of the Oil & Gas Authority, said: “ENGIE E&P, Centrica and Bayerngas have demonstrated an impressive collaborative effort in achieving first production from Cygnus. It represents a significant milestone for the Southern North Sea, delivering new volumes through existing infrastructure, utilising the UK’s skilled supply chain and helping create the right conditions for further developments. This is set to continue with the next phase of development from Cygnus Bravo which will bring additional capacity on stream in the future to deliver MER1 UK.”
Equity interests are operator ENGIE E&P UK (38.75%) and partners Centrica (48.75%) and Bayerngas (12.5%).