Orcadian Energy is granted one-year extension to licence flagship Pilot field

The Second Term of licence P2244 was due to expire at the end of November this year but will now expire at the end of November 2023. During 2023 Orcadian will be working towards a potential development decision on the Pilot field, which has audited proven and probable reserves of 79 million barrels. This extension to the licence will enable the company to continue to progress this work.

The directors believe that development of the Pilot field is an essential aspect of a ‘secure transition’ to net zero for the UK and, due to the development concept that the company has adopted, we expect the Pilot field to be amongst the lowest carbon emitting oil production facilities in the world. The selected development concept for Pilot is expected to produce just 2.6 kgCO2e/bbl of carbon-equivalent emissions. That is approximately a tenth of the emissions intensity of North Sea production in 2021. By developing Pilot, the emissions associated with the UK’s consumption of oil and gas will be significantly reduced. The Pilot development should achieve this exceptionally high environmental standard because of the pioneering techniques proposed by Orcadian, combined with the rigorous process the regulator imposes upon the industry, here in the United Kingdom.

Steve Brown, Orcadian’s CEO, said:

“We see extending the licence as a real vote of confidence from the NSTA in the North Sea. We look forward to progressing the Pilot project during 2023, and we believe that when production commences at Pilot it will contribute greatly to the UK’s energy security.”

“We believe the UK North Sea is blazing a trail for the global oil and gas industry. It is time to ‘Back British Energy’ and we are confident that the Pilot development has the potential to be a flagship project demonstrating how to reduce global emissions and making a contribution to the transition to net zero.”

“We would like to thank the regulator, and everyone working there, for their continued support for this project.”

Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/15112022/orcadian-energy-is-granted-one-year-extension-to-licence-flagship-pilot-field/