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Decommissioning programme submitted for North Sea field
30 Aug 2021

Decommissioning programme submitted for North Sea field

Planning for the decommissioning of a North Sea field which has exceeded its expected life sevenfold is now underway.

A decommissioning programme will be submitted for the Chestnut field in the Central North Sea, more than a decade after it was first expected to be shut in.

Thanks to continued investment from operator Spirit Energy and partner Dana Petroleum, additional wells and class leading production efficiency on the Hummingbird Spirit Floating Production Storage and Offloading (FPSO) vessel which sits on Chestnut, the field has produced almost quadruple the initial reserve estimates.

Now, Spirit Energy and the FPSO owner Teekay have started the first stages of preparing to decommission the field.

Chestnut – which first came on stream in 2008 with an expected two-year production life – is still producing oil via three wells, the last of which was drilled in 2020. The field, nearly 200km east of Aberdeen, has now produced more than 27 million barrels of oil, having initially been expected to yield around 7 million barrels.

Under the proposed decommissioning plans, the FPSO will be removed and Teekay will assess potential reuse options or ultimately recycle the vessel in an environmentally safe and responsible manner in accordance with applicable UK/EU regulations.

Also, the risers will be flushed, cleaned and taken back to shore.

The start date for the offshore campaign is dependent on final cessation of production from the field.

Mark Fotheringham, Capital Projects Director at Spirit Energy, said: “Chestnut has been a key field in Spirit Energy’s portfolio for many years and thanks to the excellent work of teams both on and offshore, it has continued to perform above expectation.

“While it continues to produce today, we need to look to our responsibilities in the future and have the right plans in place for when the time does come to start decommissioning the field. As its production life nears an end, we are now looking forward to a safe removal campaign.

“The collaborative spirit which characterised the production phase of Chestnut’s life will continue as we support Teekay in any repurposing opportunities for the vessel, as well as working with our supply chain on an efficient campaign to plug and abandon the wells.”

ENDS


About Spirit Energy

  • Spirit Energy Limited is a leading independent oil and gas operator in Europe, with 2020 production of nearly 45 mmboe, and 2020 year-end 2P reserves of 246 mmboe.
  • Spirit Energy has operated and non-operated interests across the UK, Norway and the Netherlands, with 33 producing fields and nearly 150 exploration licenses.
  • Employing more than 800 people, Spirit is headquartered in the UK, with offices in Staines-upon-Thames and Aberdeen in the UK; Stavanger in Norway, and Hoofddorp in the Netherlands. The business also owns and operates the Barrow Gas Terminals in the UK.
  • The company is owned by Centrica plc (69%) and Stadtwerke München Group (31%).



Contact:
Tom Gederø, Communication Manager, Spirit Energy
Mobile: +47 922 47 082
Email:
tom.gedero@spirit-energy.com