Lundin Petroleum AB, the Swedish explorer focused on Norway, said there won’t be any new oil output in the ice-filled waters of the Arctic for at least 15 years because of technical and logistical challenges.
Statoil ASA will develop the Johan Sverdrup field with four offshore installations initially and power it from shore, as output at Norway’s biggest find in decades may peak at as much as 650,000 barrels a day.
Total SA began life as Cie Francaise des Petroles, or CFP, almost a century ago. Thirty years since changing its name, the French oil giant is fighting to prevent its “Can’t Find Petroleum” moniker from coming back.
Norway’s Johan Sverdrup discovery, the country’s largest oil find in decades, could achieve a recovery rate of as much as 70 percent, according to the field’s operator, Statoil ASA. Shares in partners Lundin Petroleum AB and Det Norske Oljeselskap ASA surged.
Lundin Petroleum AB will only reduce its stake in the Johan Sverdrup discovery, Norway’s biggest oil find in decades, if buyers offer the Swedish explorer more than $10 a barrel, Chief Executive Officer Ashley Heppenstall said.
Recent oil discoveries in Norway’s Arctic Barents Sea, including one by Lundin Petroleum AB, have made the case for the construction of billions of dollars of export infrastructure, the Swedish oil explorer said.