ChevronTexaco Receives Approval To Develop UK Fields

ChevronTexaco Corp. has received approval from the UK government for the development of two North Sea Fields. The combined cost of development for the Alba Extreme South and Caledonia fields is more that $240 million. Both fields are located in the Central North Sea approximately 130 miles northeast of Aberdeen.

Alba Extreme South will be developed as a satellite to Alba field on Block 16/26. Six production and two injection wells, plus subsea facilities, will be tied back to the Alba Northern platform via a 5-km pipeline bundle of two 10-in. production lines, one 8-in. test line, and one 4-in. utilities line. Production from Alba Extreme South is expected to begin in October 2002. The project should maintain Alba's production of 80,000 b/d. If reservoir performance confirms other potential, the companies plan to review further development options.

The first phase of the Caledonia field development calls for a single well to be tied back to Britannia platform, also on Block 16/26, via a small seabed manifold and a 3.5 mile, 8-in. pipeline. First oil is expected at the end of the third quarter 2002. Peak production is expected to be 13,000 b/d.