DONG: Realities bite, Hejre still delayed

The Danish North Sea high-pressure, high-temperature Hejre oil field project continues to be challenged by delays from its supplier consortium, according to operator DONG Energy.

Henrik Poulsen, the firm's CEO and President, said DONG continues to press for first oil in 2017, but that the firm was in the process of updating its view on the scheduling impact of the delays. 

The field is 292km north west of Esbjerg and is estimated to contain about 170 MMboe, 5000-6000m deep, at 1010 bar and 160°C. 

The field, the largest oil and gas project in the Danish sector of the North Sea, had been due on stream in 2016. While the jacket was installed last year, the topsides are yet to be completed. First steel cut on the 13,000-tonne topsides was in 2013, at Daewoo Shipbuilding & Marine Engineering in South Korea, with sailaway due this year.  

Speaking in a 2Q company update, he said the development's drilling program was proceeding according to plan. The first two production wells were completed in 1H 2015, confirming the "significant potential of the area." 

Meanwhile Poulsen spoke of the general exploration and production climate. He said: "The E&P business continues the efforts to adapt to a new market reality. Focus is on building an efficient and well balanced portfolio of producing assets and pipeline opportunities capable of creating value under a new set of oil and gas price assumptions. During first half of 2015, solid progress has been made in terms of reducing costs and refocusing exploration activities."

Image: The Hejre jacket on its way to be installed last year. Photo from DONG. 

Read more

DONG Hejre jacket installation 2014

Current News

BP-Eni JV Azule Inks Deal for Namibia Offshore License

BP-Eni JV Azule Inks Deal for

NSTA Awards 31 More Licenses in Latest North Sea Oil and Gas Round

NSTA Awards 31 More Licenses i

Höegh LNG Strikes Deal to Deploy FSRU Hoegh Galleon in Egypt

Höegh LNG Strikes Deal to Depl

BW Offshore Concludes Sale of FPSO Polvo

BW Offshore Concludes Sale of

Subscribe for OE Digital E‑News

Offshore Engineer Magazine