Norwegian Hydro working out feasibility study for Shtokman field development

Publish date: April 7, 2005

Norwegian oil and gas company Hydro will introduce Gasprom company a feasibility study for Shtokman field development in some months, said President and Chief Executive Officer of Hydro Reiten Eivind after a meeting with Ilya Klebanov.

Reiten Eivind said the document would be mainly focused on “presenting effective possibilities for the field development”. Hydro and Gasprom have already signed the Memorandum of Understanding about a possibility of discussion of Gasprom participation in off shore fields development on the Norwegian shelf, where Hydro company operates. A Gasprom working group will consider the offers of its potential partners about participation in Shtokman gas field development in May 2005, INTERFAX reported.

Intending to develop 15 percent of Shtokman field, Hydro offers Gasprom a participation in Ormen Lange field development in the Norwegian Sea. According to Reiten’s words, possible limitation of Russian oil and gas fields development for foreign companies will not change Hydro’s plans to work in Russia. “It does not change our position, as we have always based on larger role of Russian companies in the fields development”, – Reiten said.

Shtokman gas condensate field is located in the central part of the Barents Sea. It is estimated that the field contains 3,2 trillion m3 of gas and 31 million tons of condensate.