BAKU, Azerbaijan, October 27. Norwegian energy companies Equinor and Aker BP have launched a strategic collaboration to improve the economics of developing tight oil and gas reservoirs on the Norwegian continental shelf, aiming to unlock additional resources and increase recovery rates, Equinor said on October 27.
The companies plan to accelerate technology development, standardise solutions and share expertise across multiple projects to make more discoveries commercially viable.
According to the Norwegian Offshore Directorate, mapped tight reservoirs on the Norwegian continental shelf have an estimated recovery potential of around 2.8 billion barrels of oil equivalent, comparable to the expected recoverable resources of the Johan Sverdrup field.
Tight reservoirs contain oil and gas that flow slowly through the rock, making extraction technically challenging and expensive. Many of the approximately 90 discoveries awaiting development approval are located in such reservoirs, where conventional methods recover only a limited share of the available resources.
“By viewing our portfolios in context and developing common solutions, we can reduce costs and develop and qualify technology faster. Together, we can make challenging resources profitable. This benefits all partners and society at large,” said Kjetil Hove, Equinor’s executive vice president for Exploration & Production Norway.
The Norwegian Offshore Directorate has encouraged operators to strengthen cooperation on technology, standardisation and knowledge sharing to improve the development prospects of these resources.
Aker BP CEO Karl Johnny Hersvik said combining opportunities across the two companies’ portfolios would help establish a more consistent level of activity, accelerate learning and reduce costs. He added that work under the collaboration would begin immediately.
The agreement covers prospects, discoveries and projects across the Norwegian continental shelf. Equinor and Aker BP will contribute opportunities from their respective portfolios and identify areas where joint technology development and common operating approaches could deliver the greatest benefits.
The initiative will also focus on resource maturation and well-stimulation solutions. The companies aim to create a predictable pipeline of activity that can support a competitive supply chain, strengthen technical expertise and ensure suppliers have the capacity needed to develop more tight-reservoir discoveries.
The collaboration will be managed through a joint governance structure and multidisciplinary working groups involving specialists from both companies.
The Norwegian Offshore Directorate estimated in 2019 that mapped tight reservoirs on the Norwegian continental shelf contain 12 billion to 13 billion barrels of oil and gas in place. However, recovery rates remain relatively low. For limestone reservoirs, estimated average recovery rates stand at 20% for oil, within a range of 5% to 40%, and 30% for gas, ranging from 10% to 50%. For sandstone reservoirs, the average recovery rate is estimated at 12% for oil, within a range of 4% to 20%, and 25% for gas, ranging from 18% to 40%.
