Talisman Brings Hannay Field On Stream

Talisman Energy announced first oil from the Hannay field located in UKCS Block 20/5c in the Central North Sea, some 13.5 kilometers northwest of the Talisman operated Buchan Alpha facility. The field is currently producing at about 15,000 bbls/d from a single well, constrained by limits on the Buchan facility.

The Hannay Field, with estimated reserves of approximately 10 mmbbls and a life expectancy of eight years, has been developed with a single horizontal subsea well tied back to Buchan, where the oil will be processed using existing facilities and exported via the Forties pipeline system. The well was initially tested at 21,900 bbls/d, but will be produced at a lower rate of 14,000 to 16,000 bbls/d in order to maximise recovery from the reservoir and due to process plant limitations on the Buchan facility.

The co-venture partners in the Hannay field are Talisman Energy (UK) Limited (Operator) with 85.72% and partners EDC (Europe) Limited and First Oil Expro Limited with respective interests of 13.37% and 0.91%.

"This is a great result for Talisman and continues implementation of our successful North Sea strategy," said Dr. Jim Buckee, President and Chief Executive Officer. "The Hannay field makes use of our existing infrastructure, and helps drive down costs. The incremental production will reduce average unit operating costs by nearly 50% and enhance the economics of the Buchan field."