Petro-Canada Gets Green Light for Clapham Development

The Department of Trade and Industry has granted approval of the Field Development Plan for the Clapham field, located in block 21/24 in the Central North Sea.

Operated and owned by Petro-Canada, the field is currently estimated to have recoverable reserves of 19.5 million barrels of oil. The cost of the field development is pounds sterling 71.5 million ($175 million CAD). Peak production of 15,000 barrels of oil per day (bopd) will be achieved in 2004. The field will be brought into production using sub-sea facilities tied back to the Triton floating production storage and offloading vessel (FPSO) via the Guillemot West & Northwest subsea infrastructure.

Welcoming the approval, Reidar Hustoft, Petro-Canada's United Kingdom country manager explained: "Our track record in bringing the western extension of Guillemot West on stream demonstrates the company's capability in small pool developments of this kind. Being able to produce Clapham through existing infrastructure makes development of this size of field economic."

Commenting on the development Norm McIntyre, president Petro-Canada said: "This has been a year of growth and achievement for Petro-Canada's team in Aberdeen. In June, we acquired Shell and Esso's interest in the Clapham license, to bring our ownership up to 100%. In September we spudded the Clapham appraisal well and on December 23rd we received field development approval from the DTI. We have shown what can be achieved in a short time frame with focus, innovative thinking and a skilled and motivated team."

Energy Minister Brian Wilson said: "I very much welcome the presence of Petro-Canada in the North Sea and the fact that this will be the first field in which they are operator from the outset. Accordingly, I am delighted to approve the development plan for the Clapham field. The joint Government-industry strategy of attracting new players into the UK sector is steadily paying off. We need large companies and niche players, just as we need long-established companies as well as newer ones. This is another good announcement for the North Sea confirming that there is still a great deal of life left in it for oil and gas companies to work with and thereby moderate the onset of maturity."