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Ascent holds a 75% interest in the first announced in March, and following which consist of world-leading technology
Petisovci gas field in Slovenia, with its the general meeting held on October 28, and building blocks from around the world,
partner Geoenergo holding the remaining 2021, Cairn on November 3 announced the have been assembled for completion in
25% through a concession signed in 2002 completion of the transaction. Sandnessjøen and then transported offshore,”
with a term of 19½ years, which is due for Under the deal, Cairn sold its entire non- Aker BP said.
renewal in 2022. operated 20 percent interest in the Catcher Aker BP has described the Ærfugl project
field and 29.5 percent interest in the Kraken as one of the most profitable developments on
field. the Norwegian shelf with a break-even price
Lithuanian firm contests to Cairn is US$455 million, to be adjusted for of less than USD 15 per barrel.
Cairn said that firm consideration payable
The Ærfugl reservoir (formerly called
decision to deny it permit to working capital and interim period cashflows Snadd) was discovered in 2000 and is located
from the economic date of January 1, 2020.
just west of Skarv, Aker BP’s northernmost
extract oil contingent consideration when Brent exceeds producing field in the Norwegian Sea.
Waldorf will pay additional, uncapped
Production from the Ærfugl phase 1
Minijos Nafta, a Lithuanian-Danish-Polish US$52/bbl on average in any of the five years started on November 12, 2020. The reservoir
joint venture, announced on October 25 it will 2021 to 2025. holds a total of around 300 million barrels of
contest the environment ministry’s decision “Assuming production is in line with Cairn recoverable oil equivalent.
not to issue it a permit to extract oil in Kintai, forecasts, this contingent consideration is
in the western district of Silute, without a expected to generate approximately a further
tender. US$100 million at US$60/bbl Brent prices, Equinor to invest $4.2bn
Minijos Nafta is now using eight oil US$175 million at US$70/bbl Brent prices,
fields in Klaipeda and Silute Districts and is and US$240 million at US$80/bbl Brent in NOAKA offshore
extracting oil from 15 wells. prices,” Cairn said.
The company says it extracted 45,100 According to Reuters, Brent crude futures development
barrels of oil in the first nine months of this fell $1.03, or 1.2%, to $83.69 a barrel by 0724
year, compared to 50,600 barrels extracted GMT Wednesday. Equinor plans to invest 25-35 billion
during the same period last year. “The addition of the interests in Kraken Norwegian crowns ($3-$4.2 billion) to
Minijos Nafta has been seeking to extract and Catcher brings the average production develop the so-called NOAKA oil and gas
oil in Kintai without a tender since 2003. from the Company’s assets up to circa 22,000 fields with partners in the North Sea, it said
Earlier in the day, the Lithuanian boe per day and increases 2P reserves to 52 on October 29.
Environment Ministry refused to issue million boe as of year-end 2020,” Waldorf The NOAKA (North of Alvheim Krafla
Minijos Nafta a permit to extract oil in Kintai. Production said. Askja) project is set to come on stream in
Environment Minister Simonas Gentvilas 2027 and would become the largest oil and
says that promoting oil extraction is not in gas development off the coast of Norway since
line with the Green Deal’s priorities and the Aker BP starts gas flow 2019, when Equinor’s giant Johan Sverdrup
goal of producing energy from renewable field started production.
sources. from Aerfugl phase 2 The cluster of petroleum discoveries
“Oil extraction in the vicinity of protected between the Oseberg and Alvheim fields
areas poses far more risks than potential Norwegian oil and gas company Aker could cost around $10 billion to develop in
benefits for the country,” he said on October BP has started production from the second total, the other operator in the area.
25. phase of the Ærfugl field development in the Aker BP, which will operate two of the
The reasons for the refusal include Norwegian Sea. licenses, North of Alvheim and Fulla (NOA
opposition from the Kintai community and Karl Johnny Hersvik, Aker BP CEO said: Fulla), said its part of the investments could
the fact that almost all of the requested zone “Aker BP’s goal is to produce oil and gas total 40-55 billion Norwegian crowns.
covers tourism and protected environmental with as low cost and emissions as possible to Equinor will operate the Krafla licence, and
areas, according to the press release. maximize value creation for our owners and the partnership, which also includes Poland’s
Also, there are cultural assets in the area, it for the society at large. The Ærfugl project Lotos, will coordinate processing, exports and
said, noting that the general plan adopted in demonstrates our ability to deliver on this electrification of the offshore platforms.
September provides for the development of strategy.” Krafla will process and export oil via Aker
tourism there. The Ærfugl development is tied into BP’s production platform at NOA, while it
Some 36 oil wells in 13 fields are the existing production vessel (FPSO) on would send natural gas directly for processing
currently in use in Lithuania, with their total the Skarv field, which is located approx. 210 at an onshore plant in Norway, from where it
production down by 21% in 2020 from 2019 km west of Sandnessjøen. will be exported to Europe.
to 38,000 m3. The field has been developed in two Aker BP on October 29 revised NOAKA’s
phases, with three wells in the southern part overall estimate of gross recoverable reserves
as phase 1 and another three wells in the to around 600 million barrels of oil equivalent
Cairn sells Wardorf field to northern part of the field in phase 2. (boe) from “more than” 500 million boe
previously.
The Ærfugl field development extends
Wardorf the life of the Skarv FPSO by five years and 250-370 million boe from the NOA Fulla area
Aker BP said it targeted production of
reduces CO2 emissions by 30-40% per barrel
Oil and gas company Cairn has sold its produced. during the field’s lifetime, while Equinor said
interest in the Catcher and Kraken oil fields in “The Ærfugl project has brought it aimed to produce about 300 million boe in
the UK North Sea to Waldorf Production. significant local ripple effects for suppliers in the Krafla area.
The proposed sale and purchase deal was the Helgeland region. The subsea modules,

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