According to Reuters, Statoil has decreased the initial costs of developing the Johan Sverdrup oilfield, North Sea, by 7%. The Johan Sverdrup is one of Norway’s biggest industrial projects. So far contracts worth 45 billion krones have been awarded for the field, which is estimated to hold between 1.7 billion to 3 billion boe.
Statoil has cut its first phase estimate to 114 billion Norwegian krones (US13.42 billion), partner Det Norske said. The reduction is founded on the same currency assumptions used in the initial development plan.
Reuters also reported that oil service contractor, FMC Technologies, said it had to reduce its costs to a level last seen five years ago in order to win a US$172 million contract for the Sverdrup development in the North Sea.
Edited by Angharad Lock