Nexen carrying out repairs at North Sea Buzzard oil field
BY CASSIE WERBER
LONDON -- Nexen said that it is carrying out repair work, as reports continue of reduced output. In a statement, Nexen, which operates the 200,000 bopd Buzzard field, said: "We are taking advantage of the output restriction in the to change a defective valve in our gas system."
A London-based trader said that Buzzard is pumping below capacity, at around 80,000 bopd. Nexen didn't comment on output. The slowdown had been linked to maintenance work at the BP-operated Kinneil terminal, which processes oil coming to land from the North Sea. But a person with knowledge of the situation told Dow Jones Newswires that the shortfall wasn't linked to the work taking place at Kinneil.
Reduced production at Buzzard may continue into the coming days, when planned maintenance work is due to take place. The trader said that this would probably be between March 1-10.
This matches up with Nexen's statement, which said that the valve replacement work "will also coincide with our planned shutdown at the end of the week for maintenance of our pig launcher."
The importance of the field to the United Kingdom economy became apparent in January. Data on United Kingdom fourth-quarter GDP showed that a prolonged and total closure at Buzzard in late 2012 contributed to the country's economy shrinking more than expected in the final three months of the year.
Dow Jones Newswires