North Sea portfolio

In recent years, we have refocused and refreshed our portfolio; bringing new fields on stream, selling interests in assets that were no longer consistent with our strategy and investing significantly in those that are. Our portfolio today is smaller but stronger, with less operating complexity, reduced risk, and better potential to increase and sustain returns

Central North Sea

Andrew

The beginning of 2015 marked a major milestone in the history of Andrew with first oil from Kinnoull, a subsea tieback located 25 kilometres to the north of the Andrew platform. The Andrew Area Development (AAD) project is an excellent example of how we can extend the life of our existing assets and generate incremental value. Extensive new subsea infrastructure, a new 750-tonne process module, and structural strengthening of Andrew have extended the platform’s ability to produce for at least another decade.

Bruce

Bruce was discovered in 1974 and still provides an important source of gas for the UK. First production began in 1998 from two platforms, with a further platform added later. The high-pressure, high-temperature Rhum gas field, which is tied back to Bruce, was brought into production in 2005 and is expected to allow Bruce to continue producing beyond 2020.

Eastern Trough Area Project (ETAP)

The Eastern Trough Area Project (ETAP) ranks as one of the largest and most commercially complex North Sea oil and gas developments of the past 20 years. ETAP comprises nine fields, six of which (Mungo, Monan, Marnock, Machar, Mirren and Madoes) are operated by BP. The fields are tied back to a central processing facility. A $1billion life extension project as part of the overall field development strategy got under way last year and aims to breathe new life into this vital resource. We see significant potential and remaining field life in ETAP and, through our significant  investment, we expect to still be producing for decades to come.

The Forties Pipeline System (FPS)

The Forties Pipeline System (FPS) is an integrated oil and associated gas transportation and processing system, which has played a major role in the development of the central North Sea over nearly 40 years. Continued investment in technology and reliability, together with responsible management, has enabled FPS to remain the single most important piece of oil and gas infrastructure in the UK, bringing a significant proportion of the UK’s oil production to the mainland. An enhanced gas separation  project at the Kinneil terminal, completed in 2014 provides further capability and flexibility to meet the needs of current and future FPS customers.

Miller (non-producing)

The Miller field was operational for 15 years, during which time it produced some 345 million barrels of oil. The field started up in June 1992 and, during the plateau years to 1997, averaged up to 150,000 barrels of oil and 225 million cubic feet of gas per day  output. Production ceased in July 2007. BP is now progressing a programme, which received UK Government approval in December 2013, to decommission the Miller field and platform.

Shetland

Clair and Clair Ridge

With an estimated eight billion barrels of oil in place, the Clair Field is the largest oilfield on the UK Continental Shelf. The field, located 75 kilometres west of the Shetland Islands, was discovered in 1977, but it was only with significant advances in technology and innovative engineering that the first phase of development was made possible. Clair, the first fixed platform west of Shetland, started producing in 2005. 

Clair Ridge, the second phase of development, involves the construction and installation of two new bridge-linked platforms, the jackets (legs) of which were installed in 2013. In 2015, the platform’s quarters and utilities (QU) topside modules were safely installed and construction was complete in June 2016 with the installation of the final topside modules. Hook-up and commissioning is now under way with first oil expected at the end of 2017. 
Clair Ridge is designed to continue producing until 2050 at a peak rate of more than 100,000 barrels of oil per day.

It will see the world’s first deployment of BP’s enhanced oil recovery technology LoSal®, a water injection method that is expected to deliver an additional 40 million barrels of oil.

We are also continuing our appraisal drilling programme to help define a possible third phase of development of the Clair field.

Foinaven

Foinaven was the first deepwater oilfield to be developed in the UK and continues to be among BP North Sea’s top-producing fields. The pioneering fast-track development was based on a network of subsea wells linked to an FPSO vessel, the Petrojarl  Foinaven. A significant investment programme to renew and replace some of the subsea pipeline system was completed in 2012. BP is reviewing the potential for  accessing additional hydrocarbons in the area, to extend the economic life of the hub and to ensure that Foinaven continues to produce safely and reliably for at least another decade.

Magnus

Magnus is BP’s oldest platform in the UK North Sea and, despite its age, remains a key asset within our portfolio. The field has achieved strong oil recovery through the long-term application of the water-alternating gas (WAG) enhanced oil recovery (EOR) schemes. Magnus is another of BP’s facilities to benefit from our renewal programme, designed to extend the life of our mature assets, while improving reliability and creating capacity for production-related activities. The Magnus Life Extension Project (MLXP) was completed in 2015. The investment will enable Magnus to deliver its reservoir potential into the future.

Schiehallion

The £3billion Quad204 project is designed to completely redevelop and maximise production from the Schiehallion and Loyal fields, located 175 kilometres west of Shetland. After 15 years of operating in harsh conditions and producing nearly 400 million barrels of oil, the Schiehallion FPSO required replacement to enable continued production and recovery of a further estimated 450 million barrels from the fields.

The Quad204 project includes a new state-of-the-art FPSO, the Glen Lyon; renewal of much of the subsea infrastructure network to rejuvenate the field; a seven-year drilling campaign; and the potential use of leading-edge polymer-based enhanced oil recovery (EOR) technology. The Glen Lyon FPSO arrived in west Shetland in June 2016 and hook up and commissioning work is well under way. It has a storage capacity of 800,000 barrels of oil and is expected to process 130 thousand barrels of oil and 220 million standard cubic feet of gas per day. The Quad204 project will extend production beyond 2035. Key to this continued production will be the application of a new enhanced oil recovery scheme.

Sullom Voe terminal (SVT)

Sullom Voe terminal (SVT) is one of the largest oil and gas terminals in Europe. BP and its partners have continually invested in the long-term capability and integrity of the terminal. This investment ensures that the terminal can continue to handle production from mature and emerging fields into the future. Built to receive oil and gas from northern North Sea fields to the east of Shetland, it now additionally serves the newer developments on the Atlantic margins west of Shetland. The SVT partners are in the process of agreeing to simplify and rationalise the terminal’s facilities to reduce costs as throughput from the mature east of Shetland fields declines. At the same time, new capability to treat the higher volumes of gas expected from west of Shetland is being planned.

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