EnQuest has been reassessing its North Sea assets and related spending plans in light of the current lower oil price.
It now looks as if production will not re-start at the mature Heather and Thistle/Deveron fields in the UK northern North Sea, which collectively generated around 6,000 boe/d last year.
At the same time, EnQuest plans decisive actions to lower its cost base through reduced opex/capex. For 2020, it is targeting a 30% cut in opex to $375 million, and in 2021, unit operating expenditures of $15/boe and cashflow breakeven of c.$35/boe in 2021.
So far this year the overall production performance has been solid, the company added, averaging around 65,500 boe/d, with the Kraken field ahead of expectations at roughly 39,000 b/d.
Much of this year’s program relates to the recently concluded drilling at Magnus in the East Shetland basin and two wells at Kraken.
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