Serica Energy gets final approval for Belinda field development

20th May 2024 09:29

(Sharecast News) - Independent upstream oil and gas company Serica Energy announced the final approval from the North Sea Transition Authority (NSTA) to develop its wholly-owned Belinda field on Monday.

The AIM-traded firm said the field would be connected to the Triton floating production, storage and offloading (FPSO) vessel after drilling a development well, scheduled for the first half of 2025.

It said the Belinda well would be the fifth in its Triton area drilling campaign, which started in April 2023 using the COSLInnovator drilling rig.

The campaign was part of Serica's strategic efforts to enhance production through the Triton FPSO.

Proven and probable reserves in the Belinda field were estimated at around five million barrels of oil equivalent, with oil making up 80% of the reserves.

Production from the Belinda field was expected to start in the first quarter of 2026, following completion of the tie-back work to the Triton FPSO.

"We are delighted to have received approval to develop Belinda - this will build on our strong track record of delivering growth and adding value through investment in our assets," said chairman and interim chief executive officer David Latin.

"We have further potential projects in our portfolio which we continue to assess, including the possible re-development of the Kyle field, which could, like Belinda, be another low emissions tie-back candidate to the Triton FPSO.

"We look to the UK government to implement tax and licensing arrangements that support investments like Belinda, thereby creating UK jobs, earnings and tax receipts instead of increasing reliance on energy imports."

At 1003 BST, shares in Serica Energy were up 0.88% at 183.5p.

Reporting by Josh White for Sharecast.com.