Maersk Oil has made the largest ever oil and gas investment in the Danish North Sea with approximately 21 billion Danish kroner ($3.36 billion), the company announced on Friday.
The company said the Danish Underground Consortium (DUC) approved the investment for the full redevelopment of the Tyra gas field, Denmark's largest gas field in the North Sea.
The announcement follows the Danish parliament's approval to implement legislation to secure the investment.
The investment enables Tyra to continue operations for at least 25 years.
At peak production, the redeveloped Tyra gas field will provide enough gas to supply 1.5 million Danish homes, supporting energy security, future tax revenues and employment for Denmark.
According to Maersk Oil, Tyra is at the heart of Denmark’s national energy infrastructure, processing 90 percent of the nation’s gas production.
'Through new development projects and third party tie-ins, the redevelopment of Tyra can be a catalyst for extending the life of the Danish North Sea – not just for Maersk Oil and the DUC, but also for Denmark,' it said.
The redeveloped Tyra is expected to deliver approximately 60,000 barrels of oil equivalent per day at peak, and is estimated that the redevelopment can enable the production of more than 200 million barrels of oil equivalent.
Danish shipping giant A.P. Moller-Maersk agreed on 100 percent acquisition of its wholly-owned subsidiary Maersk Oil to France's Total for $7.45 billion in August.
By Murat Temizer