Argus reported that Total has made a potentially substantial gas discovery in the Barents Sea.

The field Norvarg could hold 10 billion cubic meter to 50 billion cubic meter of recoverable gas. Total is the operator with a 40% stake, while Norwegian independents Det Norske, North Energy and Rocksource hold 20% each.

The field is around 240 kilometers north of Norway's liquefaction train on the island of Melkoya, which currently processes gas from the Snohvit field. It is the third gas discovery north of Snohvit this year, following Swedish independent Lundin Petroleum's discovery Skalle of up to 7.8 billion cubic meter of gas 25 kilometers north of Snohvit and Statoil's discovery of up to 7 billion cubic meter of gas in the Sto formation 110 kilometers north of the field.

The discoveries come as Norway's state controlled Statoil and its partners, which include Total, consider doubling the capacity of the liquefaction facility on Melkoya. A decision is expected to be taken by the end of 2013, which would mean any new capacity would not come on stream until 2018 at the earliest.

The train has suffered recurrent problems with its sea water heat exchangers, requiring lengthy shutdowns for repairs.

(Sourced from www.argusmedia.com)