Paladin Resources plc announces that its wholly owned subsidiary, Paladin Expro Limited (“Paladin”), and its joint venture partners have received approval from both the UK and Norwegian Governments for the development of the Enoch oil field, which straddles the UK /
Norway median line.
The Enoch Field is operated by Paladin (24.00%) on behalf of the UK and Norwegian partners, which include Bow Valley Petroleum (UK) Ltd (12.00%), Dyas UK Ltd (14.00%), Petro-Canada UK Ltd (8.00%), Dana Petroleum (E & P) Ltd (8.80%), Roc Oil (GB) Ltd (12.00%), Lundin North Sea Ltd (1.20%), Statoil ASA (11.78%), Total E & P Norge AS
(4.36%), DNO AS (2.00%) and DONG Norge AS (1.86%).
The Enoch Field was discovered in 1985 by UKCS well 16/13a-3 and was later appraised by four more wells, two of which were drilled in the Norwegian sector in Block 15/5. The field contains oil and gas trapped in sands of the Eocene age Flugga Sandstone. Perceived transboundary complications and commercial difficulties have since then prevented development progress.
The field will be developed at an anticipated cost of approximately £75 million by a single subsea production well, tied back using new subsea infrastructure, to the Marathon operated Brae A Platform, located 15km North-West of Enoch in UKCS Block 16/7. Enoch oil will be exported from Brae A through the Forties Pipeline System and sold at Kinneil, whilst Enoch gas will be sold offshore to Brae A. Production will start in late 2006 at a rate of over 12,000 barrels per day.
Commenting on the development approval of Enoch, and on the development approval of the Blane Field also announced today, Roy Franklin, Chief Executive of Paladin Resources plc, said:
“We are delighted to have received development approvals for both Blane and Enoch which set new standards in UK and Norwegian cross-border co-operation for efficient exploitation of remaining resources in a maturing North Sea. Since taking over the operatorship of Blane and Enoch in March 2004, Paladin has
received wholehearted support and co-operation from all the major stakeholders, including the DTI in the UK, the MPE in Norway and the joint venture partners and contractors, enabling timely delivery of these projects.”
