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PGNiG Upstream Norway and Aker BP have decided to move on to the final stage of work on the King Lear field PDO. The companies awarded contracts for front-end engineering and design (FEED), which will define, among other things, the scope and schedule of activities related to production start-up and the field operation, technical solutions and investment budget.

‘We continue strengthening our position in Norway, which is our main foreign market for hydrocarbon exploration and production. In the case of King Lear, we are entering a key stage of preparations which will enable PGNiG Upstream Norway and Aker BP to make a final investment decision and apply for administrative permits to start development of the field', said Paweł Majewski, President of PGNiG SA, the mother company of PGNiG Upstream Norway. ‘The development of the King Lear field shall contribute to maintaining the PGNiG Group's natural gas production in Norway at a level consistent with our strategic aspirations. By making long-term plans, we are able to secure a stable and diversified gas portfolio which will be supplied to Poland through the Baltic Pipe pipeline', emphasised Paweł Majewski.

According to the preliminary concept, production from the King Lear field will be carried out by four wells operated by an unmanned production platform. Production is expected to start at the end of 2027. The installation will be connected to the production infrastructure of the Valhall field, located 50 kilometres from King Lear. One of the advantages of this solution will be a significant reduction in carbon dioxide emissions accompanying production. The installations at the Valhall field are powered from land by hydroelectric power. As a result, the carbon footprint associated with the exploitation of King Lear may amount to 1.5 kg of CO2 per barrel of oil equivalent, with the average for the Norwegian Continental Shelf being 8 kg of CO2 per barrel.

According to the Norwegian Petroleum Directorate, King Lear's proven recoverable reserves are 11.0 billion cubic meters of gas and 9.6 million cubic meters of oil. At peak production, the PGNiG Group will be able to produce 0.33 bcm of gas and 258 000 metric tonnes of oil annually from the field.

The King Lear field is located in licences PL 146 and PL 333 in the North Sea. PGNiG Upstream Norway holds a 22.2% stake in both licences, which it acquired in 2019. The remaining shares are held by Aker BP, which is the operator. Aker BP is also the operator of the Valhall field in which it holds 90% stake.