EnQuest to Develop Kraken Oilfield With Big U.K. Investment

EnQuest Plc, a North Sea oil and gas producer, said it will spend $1.4 billion to bring the Kraken oilfield to production in 2017.

“This is the largest investment in the U.K. North Sea this year,” Chief Executive Officer Amjad Bseisu said in a telephone interview. “This should bring us up to 50,000 barrels a day of production.”

Kraken, a discovery containing 137 million barrels of oil, will attract 4 billion pounds ($6.4 billion) of investment over the 25-year life of the field, EnQuest said today. The project will help EnQuest reach a goal of more than doubling output from about 23,000 barrels a day in the first 10 months of 2013.

EnQuest maintained its production forecast for this year of 22,000 barrels to 24,500 barrels of oil equivalent a day. The outlook for 2014 is “positive,” Bseisu said.

Shares slipped 0.2 percent to 134.5 pence in London. The stock has gained 12 percent this year.

EnQuest arranged a $1.7 billion credit facility in the fourth quarter, which gives it the ability to make acquisitions and develop more projects, Bseisu said.

Before it's here, it's on the Bloomberg Terminal.
LEARN MORE