VPC Venture Prod.

RNS Number:5942U
Venture Production PLC
24 November 2005


24th November 2005

                             VENTURE PRODUCTION plc
                   ("Venture", "the Company" or "the Group")

                   Chestnut Field Development Plan Approval


Venture Production plc, the Aberdeen based UK independent oil and gas production
company, today announces on behalf of itself and its partners, Bow Valley
Petroleum (UK) Limited and Atlantic Petroleum UK Limited, that the UK Department
of Trade and Industry has given its approval for the development of the Chestnut
oil field, located in Block 22/2a.

The Chestnut Field will be developed utilising two sub-sea wells tied back to
the Sevan Marine SSP300 floating production vessel. The 22/2a-11x well, drilled
in 2001 will be re-used along with a new water injection well planned to be
drilled during the second half of 2006. The SSP300 will be a newly constructed
vessel and is anticipated to be installed in the field during 2007.

Estimated total recoverable reserves for the field amount to between six and
nine million barrels, with first production from the field scheduled for the
second half of 2007.

Commenting on the news, Mike Wagstaff, Chief Executive said:

"We are delighted to receive government approval to develop the Chestnut Field.
With recoverable reserves of less than 10 million barrels, this will be one of
the smallest stand-alone oil field developments yet in the North Sea. Utilising
the Sevan SSP offers a significantly less capital-intensive development solution
than either a sub-sea tie-back to a nearby host platform or a conventional ship
shaped FPSO. Consequently, the Sevan SSP offers a simple, re-usable, low cost
solution which has the potential to lower the threshold for economic development
of 'stranded' oil fields in the North Sea".


Contact:

Mike Wagstaff, Chief Executive
Jon Murphy, Chief Operating Officer                                 01224 619000
Rod Begbie, Corporate Development Manager

Patrick Handley, Brunswick
Chris Blundell, Brunswick                                          020 7404 5959
Eilis Murphy, Brunswick

John MacDonald, Weber Shandwick (Scottish Press)                    01224 806600
Notes for Editors:

     *    The Chestnut field partners are:
               
          -    Venture Production plc (Operator) - 69.875%
          -    Bow Valley Petroleum (UK) Limited - 15.125%
          -    Atlantic Petroleum UK Limited - 15.0%

     *    The Chestnut oil field is located entirely within UKCS Block 22/2a,
          approximately 13 km south east of the Alba field.

     *    The Chestnut field was discovered in 1986 and the reservoir is at a
          depth of approximately 7,000 ft. The field has been appraised by six 
          wells. The last of these, well 22/2a-11x was drilled in 2001 and 
          placed on extended well test utilizing the Crystal Ocean floating 
          production vessel. The well produced approximately 1 million barrels 
          of oil during the test. The well test helped reduced the uncertainty 
          over oil in place and recoverable reserves and confirmed the reservoir 
          deliverability. This production well was suspended and forms the basis 
          of Chestnut field development. A new water injection well will also be 
          drilled as part of the development

     *    Sevan Marine ASA is an offshore technology company, which specializes 
          in the market for floating production and storage systems for oil and 
          gas production. Sevan Marine has developed a new, cylinder shaped 
          offshore platform design named the SSP ("Sevan Stabilized Platform").
     
     *    The Chestnut SSP is the second unit contracted by Sevan Marine, as
          Sevan Marine has already entered into an multi-year contract with the 
          Brazilian oil company Petrobras S.A. for the provision of one SSP300 
          to the Piranema field offshore Brazil, with first oil expected 
          mid-2006.


                      This information is provided by RNS
            The company news service from the London Stock Exchange
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