On Wednesday, Aker BP revealed its planned cost to revamp Norway’s Hod oilfield in the North Sea to be NOK5.7 billion (USD596 million) with production to resume in the first quarter of 2022.
Previously on June 9, Aker BP said that the decision to redevelopment was a direct result of the incentives of Norway’s temporary tax cuts for oil companies. Earlier in June, the parliament approved the cuts to support investments in new projects and save jobs amid the coronavirus pandemic and a crash in crude prices.
The Hod field was first started in 1990. Output had slowed significantly these latest years, but an assessment showed new investments could enable it to pump oil for years to come.
