Lundin Petroleum AB got approval from Norway for a 4 billion-krone ($703 million) development and operation plan for the North Sea Brynhild field.
The development plan for the field, 230 kilometers (143 miles) southwest of Stavanger, was approved today by Norway’s Petroleum and Energy Ministry. Brynhild is estimated to hold 20 million barrels of oil equivalent in recoverable reserves and production is expected to start October 2013, the ministry said in a statement.
For the development, Lundin awarded a 700 million-krone contract to Aker Solutions ASA, it said. Technip SA also got a 100 million-euro ($137 million) contract, said Odd Stroemsnes, head of Technip’s unit in Norway, at a press briefing today.
A.P. Moeller Maersk A/S and Royal Dutch Shell Plc are also involved, Lundin said.
Brynhild will be the first field to be developed off Norway by the Swedish-based company that this year discovered the Avaldsnes deposit, which along with Statoil ASA’s Aldous find may prove to be the third-largest offshore Norway.
Lundin holds a 50 percent stake in the license and is the operator. Talisman Energy Inc. holds 30 percent and Norwegian Energy Co. ASA 20 percent, according to the Norwegian Petroleum Directorate’s website.