Delivering growth and operational excellence

Vår Energi continuously works to prolong field life and extend the production plateau through optimised drilling and technology advancements. This is an important part of the strong reserve replacement ratio of more than 160% over the past four years.

The company indicates additional resources of about 30 kboepd per year post– 2025. Vår Energi aims to double production from 2023 levels to around 400 kboepd by the end of2025. The acquisition of Neptune Energy Norge AS adds scale to a high-value portfolio.  

The company is continuously seeking to improve its operational performance. Since 2018, initiatives to drive production efficiency at the operated assets have delivered a 10% improvement, from 80% production efficiency to 90%. The company aims to improve further on production efficiency from 2025 and beyond. At the same time, Vår Energi is constantly working to improve energy efficiency through operations, by reducing flaring, cold venting, and fugitive emissions.  

The company’s target is to reduce direct (scope 1) emissions by more than 50% by 2030, compared to 2005 emissions. 

The Balder/Grane Area, which accounted for 15% of the company’s production for 2023 and 294 mmboe in 2P reserves at the end of the year, is a core hub with an expected long-term production upside. At Balder and Ringhorne, Vår Energi is the operator and holds a 90% working interest in Balder and 92.6% working interest in Ringhorne East.

Other key assets in the Balder/Grane area are Grane and Breidablikk. Vår Energi holds an approx. 28.3% working interest in Grane.

The Breidablikk field, which is located around 10 km northeast of the Grane platform, started up ahead of schedule with first production in October 2023. The field development concept includes four subsea templates tied back to the Grane platform by pipeline. Vår Energi holds a 34.4% working interest in Breidablikk. 

The North Sea, which accounted for 35% of the company’s production in 2023 and 228 mmboe in 2P reserves as of 31 December 2023, is a combination of a mature area with high activity and lifetime extensions for key fields, as well as prosperous future tie-ins.

After the acquisition of Neptune Energy Norge AS, completed 31 January 2024, Vår Energi became the operator of the Gjøa and Duva fields in the North Sea. The Gjøa area consists of fully electrified assets with lower emissions from production than average on the NCS.

Vår Energi also acquired a 25% working interest in the Gudrun field, with shared infrastructure and joint electrification with Sleipner. The Hywind Tampen floating wind farm, which was opened in August 2023, provides power to Snorre and Gullfaks.

Key assets:

• Gjøa area (Gjøa, Duva, Vega)
• Ekofisk area
• Snorre and Statfjord
• Fram area
• Sleipner area (incl. Gudrun) 

The Norwegian Sea, which accounted for 42% of the company’s production in 2023 and 238 mmboe in 2P reserves as of 31 December 2023, features multiple fields with high infill drilling activity. The area is the main gas producer in the company’s portfolio.  

Vår Energi is present in all the key producing assets and secured the Fenja operatorship following the Neptune Energy Norge AS acquisition in 2024. The company is participating in several development projects, both in early phase and execution phase, which will come on stream within a few years and provide additional high-value barrels.

Related to exploration, Vår Energi continues to be active to secure longer-term production and the company carries several firm wells in its program, both operated and non-operated. With low unit cost and with several emission reduction projects in the pipeline, the long-term production from the area will be attractive also from a sustainability point of view.

Key assets:

• Åsgard Area (Åsgard, Mikkel, Trestakk, Morvin, Kristin, Tyrihans)
• Njord Area (Njord, Fenja, Bauge, Hyme) 
• Ormen Lange
• Heidrun

The Barents Sea Area, which accounted for 8% of the company’s production for 2023 and 226 mmboe in 2P reserves at the end of the year, features significant value and upside potential. Key assets include the Goliat field (in which Vår Energi holds a 65% working interest and is the operator), the only oil– producing field in the Barents Sea Area with active infill drilling ongoing. It features one of the world’s largest and most sophisticated circular and permanently anchored FPSO units. Vår Energi has, together with the licence partner, approved concept selection (DG2) for a gas export solution from Goliat to the Snøhvit pipeline for further transport of gas to the Hammerfest LNG plant.  

The Goliat gas project is an important step for increased gas export capacity from the Barents Sea. Another key asset in the Barents Sea Area is Johan Castberg, a sanctioned and substantially de-risked project with first oil planned for the fourth quarter of 2024. Vår Energi holds a 30% working interest in Johan Castberg. In 2023, Vår Energi confirmed discovery of oil in the operated Countach well in the Goliat production license. The Countach well was drilled about 13 kilometres northeast of the Goliat field in the southern part of the Barents Sea and 91 km from Hammerfest.  

The discovery was the first well testing the Goliat-Countach trend. 3-4 follow-up wells are planned in 2024/2025 with a potential of up to 200 mmboe in net unrisked resources. The Snøhvit field was added to the Barents Sea Area portfolio after the acquisition of Neptune Energy Norge AS, completed 31 January 2024. Snøhvit is a highly strategic long-life LNG asset. 

For each crude oil type, there is a commercial assay based on a representative sample of the crude. Crude oil lifted at the Balder field is a mix of Ringhorne, Ringhorne East & Balder. There are two Balder Crude oil analysis done in 2021.