Culzean field development approved by UK OGA

The development of the largest field discovered in the UK North Sea for a decade has been approved by the UK Oil & Gas Authority. The Maersk Oil operated high pressure, high temperature (HPHT) Culzean field in the UK Central North Sea will produce gas to meet 5% of total UK consumption at peak production in 2020/21.

Discovered in 2008 by Maersk Oil and its co-venturers, the gas condensate field has resources estimated at 250-300 million barrels of oil equivalent. Production is expected to start in 2019 and continue for at least 13 years, with plateau production of 60,000-90,000 barrels of oil equivalent per day.

Maersk Oil and its co-venturers, JX Nippon and BP (Britoil) are investing around GBP 3B (USD 4.5B) in the development, with more than 50% committed to investments in the UK. The Culzean field aligns with the UK’s commitment to increase gas-fired electricity generation and will support 6,000 jobs and create more than 400 direct jobs.

The Culzean development has benefited from the HPHT Cluster Area Allowance introduced by the UK Government as part of the 2015 Budget.

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