Hurricane Energy plc said that the Oil and Gas Authority (OGA) had approved the field development plan addendum (FDPA) for Lancaster oil field on the Rona Ridge, West of Shetland.
The approval satisfies a key condition of Hurricane’s proposed financial restructuring.
The FDPA, together with associated production, flare, and vent consents, enables production with the flowing bottom hole pressure up to 300 psi below the bubble point pressure of the fluid (1,605 psia at 1,240 metres TVDSS), subject to the company ensuring that no incremental liberated gas is produced to surface.
The initial consent is for three months, from 16 June to 15 September 2021, with production, flare and vent consents issued on a three-monthly basis.
Hurricane will regularly provide data to the OGA to demonstrate conformance with the consent conditions.
In line with the FDPA, the company will ensure that no incremental liberated gas is produced to surface and it commits to choking back or shutting in any well which might produce incremental gas liberated due to below bubble point production.
TEST
“This approval, whilst not having any immediate impact on the reservoir performance of the Lancaster field, will assist with longer term reservoir management, enabling us to optimise the field’s performance,” said chief executive Antony Maris.
“Approval now, while we still have some months before we reach bubble point, will allow both us and the OGA to establish base line performance and to test the three-month approval process.”