Economic Report 2013 - page 36

ECONOMIC REPORT 2013
36
Cygnus is the largest gas discovery in the
SNS during the last 25 years. The project has
reached development thanks to innovative
geological and technical thinking by operator
GDF SUEZ E&P UK and also because of a
tax relief for large, shallow water gas fields
announced by the government in July 2012.
The partners are investing approximately
£1.4 billion in the project, of which more than
80 per cent is being spent in the UK with the
creation of 4,000 direct and indirect jobs. First
gas from the field is expected to be produced
in late 2015. It will meet the demand of nearly
one and a half million homes at the plateau
of its production in 2016, when it will be
the second largest gas producing field and
account for around five per cent of the UK’s
gas production.
The development concept comprises two
drilling centres. The central production,
processing and accommodation facilities
consist of three bridge linked platforms (Alpha
Production and Utilities (PU), Alpha Quarters
and Utilities (QU) and AlphaWellhead Platform
(WHP)) located on Cygnus East. The second
drilling centre will be a satellite WHP (Bravo
WHP) located approximately seven kilometres
north-west of Alpha on Cygnus West and
will be tied back to the Alpha PU via a
12 inch pipeline.
There will be compression facilities situated
on Alpha PU in order to meet the field’s full
production potential. The Bravo WHP will
be a ‘normally unattended installation’ and
the gas export route will be via a 24 inch,
55 kilometre pipeline connected to the
Esmond Transmission System and through to
the onshore gas terminal at Bacton in Norfolk.
GDF SUEZ E&PUK is alignedwithOil &Gas UK in
the industry body’s constructive engagement
with HMT and DECC. This dialogue has resulted
in a range of tax measures, such as the small
Figure 26: Field Layout of the Cygnus Development
1...,26,27,28,29,30,31,32,33,34,35 37,38,39,40,41,42,43,44,45,46,...76
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