By Mikael Holter (Bloomberg)– Oil firms have actually pressed with severe price cuts throughout the current sector downturn, however they’re not fairly done yet.

Spain’s Repsol SA revealed strategies to re-use its Gyda system in Norway’s North Sea on one more area, an unmatched action for a repaired installment, according to the head of Repsol’s Norwegian subsidiary Vidar Nedrebo.

Repsol has actually invested virtually a year with companions Kvaerner ASA, Allseas Group SA as well as Subsea 7 SA researching methods to relocate the system from its present area, make essential adjustments at coast, as well as transportation it to a brand-new area, Nedrebo informed the Operators Conference in Stavanger onWednesday Repsol remains in talks with 2 firms that can make use of the system, or might perhaps book it for usage on a future exploration of its very own, he claimed in a succeeding meeting.

Gyda began generating in 1990, with outcome coming to a head at virtually 90,000 barrels of oil matching a day in 1994. It’s as a result of discontinue manufacturing in May however remains in “very good technical condition,” Nedrebo claimed. The step would certainly reduce deactivating expenses, approximated at 5.7 billion kroner ($ 672 million) for Gyda as well as cause a large decrease in what can be billions of bucks of financial investments for its brand-new individual.

“There’s significant upside for the owner of the fields that can use this,” Nedrebo claimed. “A 25 percent cost reduction compared to the best available alternative.”

Reusable Jackets

The system’s steel coat can additionally be re-used, gave it fits the water deepness at the brand-new area, Nedrebo claimed. Possible brand-new areas cover the whole North Sea, from the U.K. to Denmark as well as the Netherlands.

The re-use of Gyda as well as comparable systems has actually ended up being a sensible choice many thanks to the capacity of Allseas vessel Pioneering Spirit to relocate as well as mount a framework of this dimension in one solitary lift. The globe’s greatest building and construction vessel previously this year put a 22,000-ton boring system on Equinor ASA’s Johan Sverdrup area in the North Sea.

In 2011, Equinor unsuccessfully tried to market the Huldra system in the North Sea for re-use. It published the system on classified-ad internet siteFinn no in a funny tone that recommended it had actually restricted hopes of discovering a customer.

That’s not Repsol’s purpose.

“Quite the contrary,” Nedrebo claimed. “By advertising it on Finn you actually ridicule the whole concept in my opinion. We’ve actually made a real investment in looking at the possibilities for re-use.”

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