Newfoundland and Labrador have updated the figure for Equinor’s (OSE:EQNR) Cambriol discovery, as impetus builds again behind the Bay du Nord project.
The Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) reported that the Cambriol G-92 discovery held 340 million barrels of recoverable oil. The regulator issued a significant discovery licence to Equinor Canada on the find.
The C-NLOPB declaration brings the three discoveries that will make up the Bay du Nord development to 1.13 billion barrels.
Newfoundland and Labrador premier Andrew Furey welcomed the C-NLOPB announcement.
“Our government fought hard for Bay du Nord because of its significant potential, and this is welcome news. I have been steadfast in supporting our lower carbon, more responsible offshore oil industry to meet global demand as we develop renewable wind and hydrogen energy as well,” he said.
Equinor has a 60% stake in Cambriol, while BP has 40%. The company drilled the well in 2020.
Equinor awarded work on the front-end engineering and design (FEED) for topsides on an FPSO for Bay du Nord to KBR in April 2023. At that point, the aim was set at reaching first production in the late 2020s. KBR teamed up with Hatch for the work, which had a strong emphasis on low emissions.
The Norwegian company said it was taking the “difficult decision to postpone” Bay du Nord in May 2023. The move was in response to changing market conditions and inflation. The delay would run for up to three years, it said at the time.
An Equinor representative confirmed to Energy Voice the company was “now in the market again with concept and feasibility studies related to the Bay du Nord development project”.
The studies, he continued, are intended to optimise the development plan and improve the business case for a future final investment decision (FID). “Last year we announced that we postponed with up to three years, and we have no new timeline to share.”
Equinor Canada has a cluster of licences to the northeast of the White Rose and Hebron developments.
The company made the initial Bay du Nord, with Husky Energy, in 2013. This holds 407 million barrels, according to C-NLOPB.
The Equinor official said the project was based on the three discoveries – Bay du Nord, Cambriol and Cappahayden. “We have said that recoverable reserves in total – all three included – are estimated to be greater than 500 million barrels. There’s no change to that.”
In February 2023, C-NLOPB reported Equinor’s Cappahayden K-67 held 385mn barrels of recoverable oil.
Equinor made its initial discovery on the Bay du Nord cluster in 2013. The initial cluster finds were in water depths of around 1,170 metres. The latter discoveries, Cambriol and Cappahayden, are in 650 metres of water.
“We are planning more exploration drilling this year,” the official said. “If successful, that could add to the recoverable volumes.”
The Hercules rig, currently under contract in Namibia to Galp, will return to Canada for work in the second quarter.