Page 13 - EurOil Week 04 2021
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EurOil                                           POLICY                                               EurOil



       OGUK warns of impact of Scottish




       ban on export support





        UK               UK oil lobby Oil and Gas UK (OGUK) has  energy transition, she continued. “In order to
                         requested an “urgent meeting” with Scottish  ensure our shared net-zero objectives become a
       The sector is already   ministers to rethink the Scottish Parliament’s  reality, we will need to deliver a fair and managed
       reeling from the impact   plan to withdraw support for oilfield technology  transition at pace; one which deals with the real-
       of the pandemic and   and services exports.            ities of a competitive market while at the same
       low prices.         Holyrood published its Vision for Trade strat-  time offering exciting new prospects for the
                         egy on January 26, in which it said it would end  future of our industry.”
                         “overseas trade support and promotion activities   Scotland has set a target of becoming net zero
                         solely focused on fossil fuel goods and services.”  in terms of emissions by 2045, five years earlier
                         It will take the step before world leaders convene  than the goal for the rest of the UK. It aims to
                         for the 2021 United Nations Climate Change  deliver on this ambition by developing hydro-
                         Conference in Glasgow in November.   gen, carbon capture and storage (CCS) and car-
                           In a statement, though, OGUK CEO Deir-  bon offsetting technologies.
                         dre Michie said the association wanted to   The Scottish government noted that excep-
                         meet with ministers to “highlight the effect  tions would be made for companies that demon-
                         this policy may have on members, particu-  strate that their work is essential for a “fair and
                         larly our small to medium-sized members,  just energy transition,” such as decommis-
                         who are still reeling from the impact of the  sioning, it said. This could also refer to CCS, a
                         [coronavirus]  COVID-19  pandemic and  technology based heavily on the employment
                         the downturn with its volatile commodities  of offshore structures that can be used for stor-
                         prices.”                             age. The UK, with its many depleted North Sea
                           The policy move should not “undermine”  reservoirs, is well-positioned to become a major
                         companies that hope to play a key role in the  exporter of CCS. ™
                                             PROJECTS & COMPANIES




       Wintershall Dea postpones




       Dvalin start-up





        NORWAY           GERMAN producer Wintershall Dea has had  mercury removal solutions,” the company said.
                         to postpone the launch of the Dvalin gas project  “Until an appropriate remediation solution is
       The field’s gas contains   in the central Norwegian Sea after recording too  implemented, the gas flow from the field will be
       too much mercury.  high levels of mercury in its gas flow.  curtailed.”
                           Wintershall got the all-clear from regulators   Wintershall Dea operates Dvalin with a 55%
                         to start producing from Dvalin in October, via a  interest, while Norwegian state company Petoro
                         tie-back to Equinor’s floating Heidrun platform  has 35% and Italy’s Edison a further 10%.
                         some 15 km to the north-west. In a statement on   The Dvalin development consists of four
                         January 21, though, the company said that pro-  wells targeting gas in Middle Jurassic sandstone
                         duction tests in December had revealed higher  reservoirs at a depth of 4,500 metres below the
                         levels of mercury than were recorded during  seabed. From the Heidrun platform, the gas is
                         exploratory work a decade ago. Mercury, which  piped to shore via the Polarled system for pro-
                         naturally occurs in oil and gas deposits, can  cessing, and then exported to Europe via the
                         corrode equipment and is harmful to humans  Gassled pipelines.
                         and the environment when emitted into the   Dvalin’s recoverable gas reserves are esti-
                         atmosphere.                          mated by Norwegian authorities at 18bn cubic
                           “Wintershall Dea together with its project  metres. The issue with mercury has no impact
                         partners have commenced studies to identify  on Dvalin’s reserve assessment, Wintershall Dea
                         a technical solution to enable full production,  noted.
                         including the application of established industry   The project’s cost is NOK11bn ($1.2bn). ™



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