September 23, 2013 / 7:37 AM / 4 years ago

UPDATE 1-RWE Dea's UK Breagh gas field start-up delayed again

LONDON, Sept 23 (Reuters) - The start-up of RWE Dea’s Breagh gas field, one of the largest discoveries currently under development in the North Sea, will be delayed by another month to mid-October, minority owner Sterling Resources said on Monday.

“The start-up of the Breagh gas field continues to be a challenging and frustrating process for Sterling,” said John Rapach, Sterling’s chief operating officer.

Last month the Canada-based company, which holds 30 percent of the project, said initial production rates at the field had been slashed by 40 percent and start-up had been delayed by a month.

Work on three small heat exchangers will delay the start-up by another month, the company said on Monday.

The Breagh field is expected to produce gas at a rate of 102 million cubic feet per day (mcf/d) this year and pump gas to Britain’s Teesside onshore gas processing terminal.

German utility RWE is selling its oil and gas exploration subsidiary RWE Dea as part of a huge asset-disposal programme to slash debt.

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