Nini and Cecilie Fields Receive Development Approval

The licensees of the Nini and Cecilie oil fields under licences 4/95 and 16/98 have agreed to develop the two fields. Plans for the development have been approved by the Danish Energy Authority and production is expected to start in late summer 2003.

As operator of the development, DONG has signed a contract with Saipem UK Ltd. (main contractor) and Bladt Industries A/S (sub-contractor), for construction and installation of the platforms and establishing the pipeline connections between the two fields and the nearby Siri platform. The two unmanned platforms will be built at Bladt Industries A/S in Aalborg, Denmark.

The contract sum will amount to approximately DKK 825 million. Total costs for the planned development, including project management and reserves, are expected to be in the area of DKK 2.5 billion. The figure includes approximately DKK 400 million for modification of the Siri platform and DKK 1 billion for oil production and water injection wells.

Oil from the Nini and Cecilie fields will be processed at and shipped from the Siri platform, and the total recoverable oil reserves in the two fields are estimated to approximately 65 million barrels of crude oil. The partners' interests in the fields are as follows: Nini: DONG as operator with 40 percent, Denerco oil with 30 percent and RWE DEA with the remaining 30 percent. Cecilie: DONG as operator with 22 percent, Denerco Oil with 37 percent; Denerco Petroleum with 24 percent and RWE DEA with the remaining 17 percent.