Mikkel PDO Approved

The plan for development and operation (PDO) of the Statoil-operated Mikkel gas and condensate field on the Halten Bank was approved by the Ministry of Petroleum and Energy on September 14th.

The field is scheduled to come on stream in autumn 2003 and is expected to produce for 14 years. Recoverable reserves are calculated at 20 billion cubic meters of dry gas and 35 million barrels of condensate.

The Mikkel field lies 35 kilometers south of the Midgard deposit in the Asgard licence. The field will be developed as a subsea system with the wellstream transferred to Statoil's Asgard B platform, via Midgard. The system will comprise two subsea templates, each accommodating two production wells.

The Mikkel gas will be transported through the Asgard transport trunkline to the processing plant at Karsto north of Stavanger. The condensate will flow through an existing line to the Asgard C storage vessel for export. The investments are calculated at around NOK 2.4 billion at today's rates.

The licensees in Mikkel are ExxonMobil with 33.48 percent, Norsk Hydro with10 percent and Statoil with 56.52 percent.