Ninian

Ninian Oil Field Profile

Location and Geology

• The Ninian Oil Field is located in the UK sector of the North Sea, approximately 100 miles north-east of the Shetland Islands and about 240 miles north-north-east of Aberdeen. It is situated in blocks 3/3a, 3/2a, 3/8a, and 3/7a, with a water depth of approximately 490 feet (149 meters).

Operator and Ownership

• The field is operated by CNR International (UK) Ltd, a subsidiary of Canadian Natural Resources Ltd. Canadian Natural Resources is the majority owner, holding a 63.3% stake, with minority stakes held by other companies, including Neo Energy.

Infrastructure

• The Ninian Oil Field is operated by three manned platforms: Ninian North, Ninian Central, and Ninian South. Ninian Central is a concrete gravity-based structure, while Ninian North and Ninian South are fixed steel platforms. The platforms are connected by pipelines and support subsea tie-backs from the Lyell, Strathspey, and Orlando oil fields.

Production History

• The Ninian field began production in 1978, with the Ninian North Platform (NNP) commencing production in August 1980. The field reached its peak production in 1982. Over its lifetime, the Ninian field has produced more than 1.2 billion barrels of crude oil.

Current Production and Future Plans

• As of 2022, the field's production had dwindled to approximately 6,500 barrels per day. Canadian Natural Resources announced plans to halt operations at the Ninian field in March 2023, citing unfavorable regulatory and economic conditions in the UK. Planning for the cessation of production and decommissioning is underway, although it is still in the early stages.

Transportation and Export

• Oil from the Ninian field is transported via the 36-inch Ninian Crude Oil Pipeline to the Sullom Voe Oil Terminal in the Shetland Islands. This pipeline, along with the Brent pipeline, is crucial for the export of Brent-branded crude oil.

Associated Fields and Facilities

• The Ninian Central platform and pipeline serve as a conduit for other producers, including TotalEnergies and EnQuest, which operate nearby fields such as Alwyn North and Dunbar. The Lyell and Strathspey oil fields are subsea tie-backs to the Ninian South platform, and the Orlando Oil Field is also a subsea tieback to the Ninian platform.

Decommissioning

• Decommissioning plans for the Ninian field are being developed, with separate programs covering the Ninian Northern Platform (NNP), Ninian Central Platform (NCP), and Ninian South Platform (NSP). The decommissioning process includes the removal of topsides and jackets, and is subject to regulatory approval and public consultation.

Contractors and Services

• Various contractors have been involved in the development and maintenance of the Ninian field, including William Press, Emtunga, Whessoe, Charlton Leslie, Wood Group PSN, Bifab, and FoundOcean. These companies have provided services such as platform construction, accommodation modules, project management, engineering, and subsea installations.

Economic and Regulatory Context

• The decision to close the Ninian field is influenced by the challenging UK business environment, particularly the introduction of a 75% headline tax rate on revenues through an "energy profits levy" in 2022. This has made the continued operation of the field economically unviable for Canadian Natural Resources.