Breagh Start-Up Postponed for Mid-October (UK)

Sterling Resources Ltd.  has been advised by RWE Dea UK, the operator of the Breagh gas field, that production start-up will now be delayed until mid-October. During the plant start-up process it was discovered that remedial work on three small heat exchangers is required; one of which requires removal to a suitable repair facility.

The Breagh field is located in UKCS blocks 42/12a and 42/13a of the Southern North Sea in 62 metres water depth, approximately 100 kilometres east of Teesside. Gas is exported via a 20 inch pipeline from the Breagh Alpha platform to Coatham Sands, Redcar on the UK mainland, and then to an 11 kilometre onshore pipeline for processing at the Teesside Gas Processing Plant (TGPP) at Seal Sands. The TGPP site is owned by North Sea Midstream Partners, and after processing at the TGPP, the gas will enter the UK National Transmission System.

“The start-up of the Breagh gas field continues to be a challenging and frustrating process for Sterling,” stated John Rapach, Sterling’s Chief Operating Officer. “Previous mechanical problems with the gas-to-gas exchangers, which delayed start-up over the summer, have now been fully resolved. We continue to work with operator RWE Dea UK to achieve a safe and sustainable start-up of the Breagh field as expeditiously as possible,” added Rapach.

Sterling Resources Ltd. is a Canadian-listed international oil and gas company headquartered in Calgary, Alberta with assets in the United Kingdom, Romania, France and the Netherlands.

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Press Release, September 23, 2013