Statoil said it expects to submit a development plan for its giant Johan Sverdrup field in early 2015 as part of a larger push to keep drilling activity high in 2015.
The company plans to file the field development plan for Johan Sverdrup on February 13.
The initial development phase for Sverdrup will cost between $14.8 and $17.8 billion with full development costing between $25 billion to $32.4 billion.
The field is expected to start up in late 2019 and will be the most expensive oil and gas development in Europe.
In the early phase, Sverdrup is projected to produce between 315,000 to 380,000 barrels of oil equivalent per day.
Statoil may also be ready to decide on the development concept for the Johan Castberg field in July.
A floating production, storage and offloading unit and a rig with a connection to an onshore terminal are currently being considered for the field.
The company expects to focus on smaller, fast-rack developments during the fourth quarter 2014 with three to five fast-track projects being approved in the next coupe of years.
“But going into 2015, we’re looking at launching more fast-track projects. We could easily have three, four, five fast-track projects in 2015, 16 and 17,” Statoil senior VP Ivar Aasheim told Reuters.
Slumping oil prices and a series of disappointing wells have been squeezing the Norwegian upstream’s profits and could impact the company’s development plans moving forward.
“Everything has a limit, so if the oil price goes down to $60 (per barrel) then it will be very difficult to get an investment decision for these projects,” Aasheim said.