Balder Partners Clear Seven-Well North Sea Development Tied to Jotun FPSO
June 18, 2026
Partners in the Balder field, Vår Energi and Kistos Energy, have taken a final investment decision (FID) on the Balder Next New Wells project in the Norwegian North Sea, which entails a seven-well tieback to the Jotun floating production, storage and offloading vessel (FPSO).
The first phase of the project comprises seven new wells connected to the Jotun FPSO, with production expected to begin in the fourth quarter of 2027.
The development is expected to recover 86 million barrels of oil equivalent (mmboe) gross in proved and probable reserves, up from approximately 75 mmboe previously estimated.
Vår Energi is the operator and holds a 90% interest in the Balder field, while Kistos Energy Norway owns the remaining 10%.
“This project demonstrates our ability to mature and execute a portfolio of high-quality developments, excellent resource management, supporting production growth and long-term value creation. The Balder area is a key hub in our portfolio, and the Balder Next New Wells project will contribute to sustaining production from the Jotun FPSO and unlocking more resources over time,” said Torger Rød, chief operating officer at Vår Energi.
The project is expected to deliver a breakeven price of around $30 per barrel of oil equivalent and an internal rate of return of more than 35%, according to the company.
The Balder area has become a key production hub following the start-up of the Jotun FPSO in 2025. The vessel provides processing capacity for new tieback developments and is expected to support additional resource recovery from the area.
The new wells project also forms part of a broader infrastructure strategy in the Balder area, including the planned decommissioning of the Balder floating production unit from 2028. The consolidation of facilities is expected to reduce operating costs and emissions.
