Norwegian state-owned oil company Petoro expects to select concept for the first part of the Troll phase 3 development project and for the future development of Askeladd structure of the Arctic Snoehvit gas field in 2017. The company also aims to make an investment decision on the Arctic Johan Castberg field and the Snorre Expansion Project in 2017.
Troll, the largest gas field in Norway, accounts for around 30% of total gas output on the Norwegian continental shelf (NCS). It is operated by Statoil, in partnership with Petoro, Shell, Total and ConocoPhillips. At year-end 2015, it had remaining reserves of 890 bcm and produced 35 bcm in 2015. The third phase will focus on developing gas reserves in Troll Vest.
The proven volumes in Johan Castberg are estimated at between 400 and 650 mbl of oil, while reserves in the Snorre field are currently estimated at 1.63 Gbl of oil. The original estimate, when the plan for development and operation (PDO) was submitted in 1989, was around 760 mbl of oil. The Johan Castberg project has been delayed three times since 2013 as Statoil was seeking to reduce costs: production costs are estimated at nearly US$80/bbl (even with offshore loading), which is much above the current level of global oil prices.