LONDON, Oct 3 (Reuters) - Royal Dutch Shell and
Ithaca Energy have given the go-ahead for upgrading the Pierce
oilfield in the British North Sea so that it can produce natural
gas, Shell said on Thursday.
The project involves modifying the existing floating
production, support and offloading (FPSO) vessel and installing
a sub-sea gas export line from the FPSO to the SEGAL pipeline.
It also involves drilling new wells in the field, which now
produces oil and reinjects gas into the reservoir.
"This important development of the Pierce field will allow
us to unlock additional gas reserves for the UK," said Steve
Phimister, head of Shell's North Sea.
Pierce is Shell's eighth final investment decision in
Britain's Continental Shelf since the start of 2018, Phimister
added.
It is a joint venture between Shell, which holds a 92.52%
stake and Ithaca Energy, which is held by Israel's Delek Group
, with a 7.48% stake.
(Reporting by Ron Bousso;
Editing by Edmund Blair)
