NPD Satisfied with Drilling of Snohvit Wells

Drilling of the ten Snohvit wells in the Barents Sea is now complete. According to Statoil, the drilling operations have been completed without harmful discharges to sea.

The drilling activity was also completed on time and within the original budget. The wells will be put into production when the Hammerfest LNG terminal facility on Melkoya is ready.

"This is a good example that there need not be a conflict between new value creation from the oil and gas activities and rich and clean seas in the north," says Director Kirsti Veggeland in the Norwegian Petroleum Directorate.

"With these Snohvit wells, Statoil has shown that by further developing technology for these types of operations, it is possible to safeguard both environmental and fishery interests in the northern areas, while at the same time increasing value creation from the oil and gas industry," says Veggeland.

The drilling facility "Polar Pioneer" started drilling on Snohvit in December 2004. Prior to this, the facility underwent modifications to meet the environmental requirements in the discharge permit for drilling in the Barents Sea. The "Polar Pioneer" will now finish the completion work on the wells. After this, the facility will clean up and prepare nine of the wells for production and one well for injection of CO2. Statoil expects this work to be complete before summer.

"It is a fundamental principle for the authorities that the players on the Norwegian shelf produce oil and gas with minimal discharges to sea," Veggeland emphasizes. "Half of the oil and gas Norway estimates to sell in 2020 has not yet been discovered. A substantial number of these deposits are probably located in the northern areas."

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