Kristin gas export project terminated
Statoil has reported that the Kristin gas export project (KGEP) partners have made a decision to terminate the project due to unsustainable economics caused by increased investment costs and increased risk to volume availability.
KGEP
The KGEP project, a pipeline connection between the Kristin field and Polarled, was sanctioned by the KGEP Partners (Statoil 53.4%, Petoro 35.6% and GdFS 11%) in conjunction with the Polarled project sanction late 2012.
Following the last year's project development, the partners have decided to terminate the project based on unsustainable project economics. The drivers behind the decision are increased costs and volume risk.
KGEP represented less than 5% of the Polarled volumes and the termination does not influence the Polarled project execution. All relevant stakeholders have been informed about the KGEP partners' decision to terminate the project.
"It is a necessary decision that has been taken by the KGEP partners. With the deteriorating project economics, we did not see grounds to continue the KGEP development," says Polarled development project director Håkon Ivarjord.
KGEP included Kristin platform modifications and a 30 km pipeline to tie into the Polarled pipeline. The opportunity for the future connection of the Kristin field to the Polarled pipeline is maintained as necessary connection points continue to be part of the project.
Adapted from press release by Hannah Priestley-Eaton
Read the article online at: https://www.worldpipelines.com/business-news/09012014/kristin_gas_export_project_terminated/
You might also like
World Pipelines Podcast: UK pipeline perspectives
In this episode, we look at the work of the Pipeline Industries Guild, in facilitating connections and learning for pipeliners of all kinds in the UK.
Apollo to partner with bp on TANAP gas pipeline
bp and Apollo have announced that they have reached agreements for Apollo-managed funds to purchase a 25% non-controlling stake in BP Pipelines (TANAP) Ltd – bp TANAP – the bp subsidiary that holds bp’s 12% interest in TANAP, owner and operator of the pipeline that carries natural gas from Azerbaijan across Türkiye.