Export solution recommended
Work should continue on an export solution for new gas from the Norwegian Sea via the Nyhamna processing plant in mid-Norway and the Langeled pipeline to produce a final concept choice.
Photo: Nyhamna processing plant (Photo: SHELL)
This recommendation has been made by Gassco and field operators Statoil and Shell following the completion of feasibility studies related to new gas export solutions in these waters.
These investigations have covered pipeline solutions, tie-ins, possible expansions at Nyhamna and assessments of various landfall options.
Terminal options assessed include Nyhamna and Tjeldbergodden in Møre and Romsdal county as well as sites in Nordland county. Both pipeline transport and shipments of liquefied natural gas (LNG) have also been considered.
A direct pipeline from the Luva field – planned to begin production in 2016 – to the Nyhamna terminal is costed at roughly NOK 10 billion.
Via tie-ins, this system could also carry gas from Linnorm (previously Onyx), due on stream in 2017, as well as supplies which cannot be accommodated in the existing Åsgard Transport line to Kårstø north of Stavanger.
The proposed new pipeline to Nyhamna would also be able to carry possible future gas volumes from the Vøring area of the Norwegian Sea.
A line linking Luva to the Nordland coast for processing, with another pipeline to Nyhamna for tie-in with Langeled, would cost more than double the Nyhamna option, at about NOK 25 billion.
And a land-based gas liquefaction solution would be very much more expensive, with an estimated price tag of NOK 65 billion.
“Gas volumes from the fields concerned are separately and collectively so big that domestic use is unrealistic,” says Thor Otto Lohne, head of infrastructure development at Gassco. “In other words, an export solution must be established. To limit future work, some landfall options must be shelved, and we recommend a system via Nyhamna and Langeled. The latter has spare capacity, and such a solution would also provide optimum and efficient utilisation of the existing infrastructure.”
A decision on constructing capacity for new gas exports from the Norwegian Sea will be taken in parallel with decisions on developing relevant fields in these waters.
(22.7.2010)
