Faroe Petroleum is selling 17.5% interest in PL586 containing the pre-development Fenja Field to Suncor Energy as announced on 12 February 2018. Cash consideration is US$ 54.5 million and Faroe Petroleum will retain 7.5% in PL586. Fenja incorporates the Pil & Bue discoveries, and the Plan for Development and Operation (PDO) was submitted on 19 December 2017. Investment is expected to total NOK 10 billion (US$ 1.2 billion) and development will be through two seabed templates with production and gas & water injection wells, and 32km subsea tie-back to Njord A facility. Recoverable reserves are 97MMbo with production to commence in Q4 2020. Pil will be developed first and Bue secondly as an upside that will be confirmed through Pil production drilling. Pil and Bue were discovered in Late Jurassic Rogn and Melke Formation sandstones by 6406/12-3 S (2014, VNG, 3,788m) and 6406/12-3 A (2014, VNG, 4,356m). A subsequent nearby discovery was made in the Rogn Formation by Boomerang NFW 6406/12-4 S (2015, VNG, 4,318m) 1.8km SE of Pil, and may offer further upside. PL586 was awarded in APA2010 and covers 287 sq km in blocks 6406/11 & 12. Prior to completion of the Faroe/Suncor deal PL586 licence partners are VNG Norge AS (30% + Op), Point Resources AS (45%), and Faroe Petroleum Norge AS (25%).
Faroe Petroleum is selling 17.5% interest in PL586 containing the pre-development Fenja Field to Suncor Energy