Energy Voice | Ithaca announces start-up at North Sea Harrier field

Ithaca Energy has announced production has started on its Harrier oil and gas field in the North Sea.

Harrier is a satellite field in the Greater Stella Area development, which could produce more than 30million barrels of oil.

The firm today said Harrier production started in June.

Ithaca set about the process of installing a 7.5mile pipeline to tie-back the field to the GSA production hub last year.

The firm, owned by Israel’s Delek Group, said the total cost of the Harrier development was £50.4m.

Last week Ithaca announced a deal to buyout its partners in the Greater Stella Area in the North Sea, Petrofac and Dyas.

The deal with Petrofac is for up to £228m.

Upon completion, it will make Ithaca the 100% owner of GSA and the FPF-1 floating production hub.

Production from Harrier, and the Stella field which started-up last year, are filling the gas processing facilities at FPF-1.

Ithaca posted a pre-tax loss of £37.8million in its first half results for 2018, up from £2.5m in the same period last year.

It comes as the firm is undergoing a restructuring programme for its net debt of £412.9m.

Aside from its GSA acquisition, Ithaca said it is “actively engaged” in identifying high quality North Sea acquisitions that can enhance the business.

Ithaca also confirmed that drilling from BP’s Vorlich field, which it holds a 34% interest in, remains on track for drilling next year, with production in 2020.

Vorlich will be tied into the FPF-1 hub and is estimated to hold 25million barrels of oil equivalent.

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