DONG Energy has agreed to divest 5% of the UK Edradour field to Total E&P UK Limited which when completed results in an aligned DONG Energy participation of 20% in the four UK West of Shetland fields, Laggan, Tormore, Edradour and Glenlivet. Total is the sole co-owner (80%) and operator of the fields.
DONG Energy and Total have decided on a joint development of the Edradour and Glenlivet fields, by way of tie-in to the Laggan and Tormore infrastructure, with both fields expected to contribute to production in 2018.
Mike Smith, Managing Director for DONG Energy's oil and gas activities in the UK said:
"This is a great step forward for our business in the West of Shetlands. The agreement to move forward with the joint development of Edradour and Glenlivet underpins our long term gas hub strategy and strengthens our production base in the region."
The information provided in this announcement does not change DONG Energy’s previous financial guidance for the 2014 financial year or the announced expected investment level for 2014-2015.
For additional information, please contact:
Media Relations
Ulrik Frøhlke
+45 9955 9560
Investor Relations
Allan Bødskov Andersen
+45 9955 9769
Notes to editors
Glenlivet
The field is located 90km north-west of the Shetland Islands at a water depth of 435 metres. A gas discovery was made in September 2009. The reservoir will be developed with two wells using a single four-slot manifold on the seabed and a 35km production pipeline tied back to the Laggan-Tormore pipelines.
Edradour
The field is located 75km north-west of the Shetlands at a water depth of 300 metres. A gas discovery was made in December 2010. A single well will be produced using a single four-slot manifold on the seabed and a 16km production pipeline will then tie it back to the main Laggan-Tormore pipelines.
DONG Energy is one of the leading energy groups in Northern Europe. Our business is based on procuring, producing, distributing and trading in energy and related products in Northern Europe. DONG Energy has around 6,500 employees and is headquartered in Denmark. The Group generated DKK 73 billion (EUR 9.8 billion) in revenue in 2013. For further information, see www.dongenergy.com.
