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Consent for use of Varg beyond the original expected design life

Talisman Energy Norway AS (TENAS) has been granted consent to use the facilities on the Varg field beyond the design life.


The consent applies to use of the wellhead facility Varg A, risers, pipelines and subsea systems connecting Varg A to Petrojarl Varg (FPSO) until 2021, and use of Petrojarl Varg until 2013.

TENAS plans to submit a new application for life extension for Petrojarl Varg following a new classification.

Varg field
 
Illustration of the Varg field (source: MPE)

The Varg field is operated by Teekay Petrojarl Production AS on behalf of TENAS. The field was discovered in 1984. The Plan for development and operations (PDO) was approved in 1996, and production started in 1998.

The original design life was for

  • field installations: 15 years
  • hull Petrojarl Varg: 15 years
  • structure Varg A: 15 years
  • process equipment Petrojarl Varg: 8 years
  • process equipment Varg A: 10 years
  • wells: 10 years
  • pipelines: 15 years

The design life was based upon the reserve estimates and production profile stated in the PDO. 

The reserve estimates have in retrospect been increased repeatedly on the basis of drilling of new wells, new and better reservoir models and application of new technology.