CHART: Why Savers Are Furious In America

Joe Weisenthal | Mar. 31, 2012, 7:38 AM

Combing through the personal income and spending data (which was released yesterday) reveals all kinds of interesting nuggets.

For example, we observed the big surge in rental income in America, thanks to a surge in both rent prices, and the number of people who are renting homes, rather than buying them.

And then also the data reveals that the savings rate is back to collapsing.

Anyway, here’s another fun one. Check out income earned from interest as a percentage of GDP.

As rates have declined, interest income as a total share of the economy is back to levels not seen since the early 70s.

It’s interesting to compare this chart with 10-year yields.

As you can see, interest income as a share of the total economy actually stayed pretty high throughout all of the 80s, even as rates dropped precipitously. And through rates are at all time lows, interest income isn’t quite there yet. But for savers and retirees, the trend is still not looking good.

And though people blast Bernanke for a policy of zero interest rates, that’s misguided. It’s the massive glut of savings (people wanting risk-free assets all around the world) and the still-poor growth prospects that conspire to make a scenario where you can’t earn any money on your cash.

Read more: BI

Related articles

• BERNANKE TO SAVERS: We Don’t Owe You A Living (mb50.wordpress.com)
• $450 Billion In ZIRPorized Purchasing Power: Two Charts That Explain The Baby Boomer Dilemma (zerohedge.com)
• DEAR SAVERS AND RETIREES: Stop Whining About Those Lousy Rates You’re Getting From The Bank (businessinsider.com)

Happy Dragon Ships 8 Manifolds to Goliat Field Offshore Norway

Aker Solutions has successfully completed the manufacturing and subsequent load-out of eight subsea manifolds and six riser bases for Eni Norge’s Goliat project in the Barents Sea.

On Tuesday 27 March the load-out commenced. This weekend, the heavy lift vessel Happy Dragon will sail away with her giant load.

”This is probably the largest single subsea delivery we have made from Egersund. I’m proud of my colleagues, and satisfied on behalf of our customer Eni Norge AS, that we are delivering this on schedule and on budget,” says Svein Oskar Nuland, head of Aker Solutions’ yard in Egersund, Norway.

“Our project team at Fornebu and here in Egersund has worked tirelessly to complete this important milestone”.

The delivery of the subsea manifolds and riser bases is the yard’s second hardware load-out for the Goliat subsea project. The first, consisting of eight subsea templates, was also delivered on schedule when it sailed out of Egersund at the end of March last year.

Aker Solutions’ Goliat contract, signed in September 2009, comprises of engineering, procurement and construction of a complete subsea production system. Subsea hardware deliveries include eight overtrawlable four-slot subsea templates with manifolds, wellheads system, 24 subsea trees, subsea and topside controls systems, 20 kilometres of steel tube umbilicals, work-over equipment and a tie-in and connection system.

Source

Related articles

• Shell Orders Subsea Connection Systems from Aker Solutions (Norway) (mb50.wordpress.com)
• Norway: Aker Solutions Delivers Subsea Templates for Skuld Fast-Track Development (mb50.wordpress.com)
• Norway: Statoil Orders Subsea Structures for Asgard (mb50.wordpress.com)
• Norway: Aker Solutions Secures Draupne FEED Contract (mb50.wordpress.com)
• Norway: NPD Supports Statoil’s New Rig Concept for Subsea Wells (mb50.wordpress.com)
• Norway: North Sea Giant Stays with Technip (mb50.wordpress.com)
• STX OSV Adds to their Backlog, DOF ASA Sends Newbuild Order for Subsea Construction Vessel (mb50.wordpress.com)
• Swire Acquires Norway’s Subsea Specialist (mb50.wordpress.com)

Nine Oil Firms Table Bids for Ronda Uruguay II

Uruguay’s state-owned petroleum company, ANCAP, has announced that nine oil companies have placed nineteen bids for exploration and production offshore Uruguay.

Bids come from oil majors for the 15 blocks offered by the Uruguayan government for the oil exploration and production in the Oriental del Plata, Pelotas and Punta del Este offshore basins.

Uruguay’s second offshore licensing round (Ronda Uruguay II) attracted interest of eleven oil companies but nine of them qualified for the bidding process.

UK’s BP and the BG Group, France-based Total, Dutch Shell, Tullow Oil Plc and Exxon Mobil Corp. all filed the bids. Furthermore Spain’s Cepsa, Murphy Oil and Argentina’s YPF were among the bidders.

The marine platform is already explored by a consortium of Petrobras, YPF and Galp, that were the bidding winners in the first Uruguay Round in 2009. According to ANCAP authorities there is a big increase in the oil sector interest on the Uruguayan offshore, when compared with the first bid where only six oil companies asked for qualification.

ANCAP is expected to come up with the results of the bidding later during the day.

Source

Related articles

• South America: On Uruguay’s unexplored riviera (telegraph.co.uk)
• Uruguay navy chief who resisted rebels is buried (seattletimes.nwsource.com)

Norway: PSA Conducts Audit of Major Accident Risk in Connection with Light Well Intervention

In December 2011 and January 2012, the Petroleum Safety Authority Norway (PSA) conducted an audit of Statoil Petroleum AS (Statoil) and Island Offshore Subsea AS (Island Offshore). The audit was aimed at management of major accident risk and the barrier management system in connection with light well intervention on Island Constructor.

Each year, more than 500 well interventions are carried out on the Norwegian shelf, and this number is expected to grow.

There is a high level of risk associated with work on live wells (major accident potential) and many interfaces (multiple alliance partners).

A survey of well intervention activities carried out during the period 2003 – 2008 concluded that there was a significant need for well interventions on subsea installations. Verification on one of the facilities that carries out light well intervention was implemented to investigate HSE challenges linked with this type of operation.

Island Offshore Management and Island Offshore Subsea have an alliance with FMC and Aker Well Service for operation of the Island Constructor which carries out light well intervention on subsea wells for Statoil.

Objective

* Evaluate the companies’ understanding, knowledge and expertise as relates to major accident risk and managing barriers, on the part of both company management and among the employees.

* Evaluate strategies and principles which are to form the basis for design, use and maintenance of barriers so that the barriers’ function will be safeguarded throughout the entire facility lifetime.

* Verify that performance requirements are established and implemented.

* Develop the PSA’s expertise in following up management’s work to reduce major accident risk, and clarify the need to develop a framework and supervision methods.

* Contribute to the PSA developing its own methods that will form the basis for more effective barrier supervision.

Result

The audit activity uncovered three nonconformities and four improvement items as regards Island Offshore.

The nonconformities related to deficient analysis of defined hazard and accident situations, layout of kill and stimulation lines, and deficient basis for and documentation of maintenance.

Source

Related articles

• Norway: NPD Supports Statoil’s New Rig Concept for Subsea Wells (mb50.wordpress.com)
• Norway: Statoil Orders Subsea Structures for Asgard (mb50.wordpress.com)
• Norway: Technip to Install Subsea Compression System on Asgard (mb50.wordpress.com)
• Recap: Worldwide Field Development News (Mar 23 – Mar 29, 2012) (mb50.wordpress.com)
• Norway: EMAS AMC Wins Fram SURF Deal from Statoil (mb50.wordpress.com)
• PSA Norway Approves Manned Underwater Ops (mb50.wordpress.com)
• Norway: DOF Subsea to Provide Offshore Survey & Construction Services to Statoil (mb50.wordpress.com)
• Helix Well Ops UK Completes Well Intervention in West Africa (mb50.wordpress.com)

India: Cochin Shipyard Delivers PSV to Norwegian Owner

Cochin Shipyard recently delivered a Platform Supply Vessel “Brage Trader” to M/s Brage Supplier K S, Norway. This is the fourth of a series of the high technology offshore vessel that have been constructed and delivered by CSL this financial year.

The vessel is of PSV 09 CD type designed by STX OSV Norway and are classed under the Rules and Regulations of Det Norske Veritas and is flagged under the Norwegian regulations. The 88 x 19 Meter vessel is a high end Diesel Electric PSV with by 4 Nos 1665 KW Diesel gen. sets and 2 Nos 2200 KW contra rotating propellers. The vessel with Grade II Dynamic Positioning features has been assigned the ‘CLEAN’ design notation by DNV signifying the highest levels of environmental compliance.

The vessel with accommodation for 42 persons also meets the requirements of COMF class signifying high comfort levels due to special arrangements to attain very low levels of noise and vibration. The vessel has special stainless steel tanks with Nitrogen inerting arrangements to carry low flash liquids and is capable of all other normal offshore supply operations.

Brage Trader PSV will be operated by Simon Møkster Shipping AS from Norway.

Source

Related articles

• Norway: STX OSV Brevik Shipyard Hands Over PSV Island Captain (mb50.wordpress.com)
• STX OSV Adds to their Backlog, DOF ASA Sends Newbuild Order for Subsea Construction Vessel (mb50.wordpress.com)
• Turkey: Tersan Shipyard Splashes Multipurpose Offshore Construction Vessel Grand Canyon (mb50.wordpress.com)
• Norway: Naming Ceremony for Olympic Energy PSV (mb50.wordpress.com)
• BP Hires PSV ‘Sea Brasil’ (mb50.wordpress.com)

DeepOcean Group Wins Trenching Job for COOEC in China

CTC Marine Projects, Ltd., a subsidiary of DeepOcean Group Holding AS, announced the award of a major trenching contract for COOEC on the Liwan 3-1 Project in China located 350 kilometres offshore Shenzhen, China.

CTC will be responsible for the trenching of approximately 174 kilometres of 30-inch pipeline from the Shallow Water Host Platform of the Liwan field development in water depth of 205 metres. For this workscope, CTC will use the MSV Volantis equipped with two ROVs and the world’s most powerful jet trenching ROV, the 2.1 Megawatt UT-1 Trencher.

Tony Stokes, Director of CTC’s Asia Pacific operations, states, “This project, along with the recently completed project with the Volantis and UT-1 in South Korea, shows the demand for CTC’s trenching technology in the thriving South East Asia region. We look forward to a successful campaign and are very pleased to cooperate with COOEC Subsea on such an epic project.”

Source

Related articles

• Australia: DeepOcean Wraps Up Kipper Tuna Turrum Trenching (mb50.wordpress.com)
• T1200 Trenching Unit Nearing Completion in the UK (mb50.wordpress.com)

China: Fujian Southeast Shipyard Hands Over Subsea-Support Vessel VOS Shine to Vroon

On March 28th 2012, Vroon Offshore Services (VOS) took delivery of VOS Shine. The vessel was delivered from Fujian Southeast Shipyard in China and is the first of two subsea-support vessels (SSV) to be built at the Shipyard for VOS.

VOS Shine is a modern SSV with DP2-class notation and four-point mooring capabilities. The vessel has an extended moon pool, accommodation for 50, dual V-Sat dome with client and crew network, as well as satellite television. She is suitable for remotely-operated vehicle (ROV)/survey and construction diving jobs and will be commercially available in Europe from June.

The vessel will leave the Shipyard in the coming days and will be operated by Vroon Offshore Services B.V. in Den Helder.

VESSEL PARTICULARS

Length o.a 59.25 m

Beam 14.95 m

DP Class Class 2, ABS

Accommodation Total of 50

Cranes

Main crane: SWL – 24mt SWL @ 8m, 6mt @ 19m max. outreach

Service crane: PS – SW – 3mt x 9m outreach

Source

Related articles

• STX OSV Adds to their Backlog, DOF ASA Sends Newbuild Order for Subsea Construction Vessel (mb50.wordpress.com)
• Helix Orders Semi-Sub Well Intervention Rig in Singapore (mb50.wordpress.com)
• Canada: Subsea 7 Receives Terra Nova Field SURF Contract (appliedagrotech.net)
• USA: Deep Down, Bornemann Team up in Gulf of Mexico Subsea (mb50.wordpress.com)
• Swire Acquires Norway’s Subsea Specialist (mb50.wordpress.com)
• Norway: NPD Supports Statoil’s New Rig Concept for Subsea Wells (mb50.wordpress.com)
• USA: ECO Shipyard Christens New Icebreaker Built for Shell (mb50.wordpress.com)
• McDermott signs agreement for spool base services in Gulf of Mexico (mb50.wordpress.com)

Recap: Worldwide Field Development News (Mar 23 – Mar 29, 2012)

This week the SubseaIQ team added 2 new projects and updated 35 projects. You can see all the updates made over any time period via the Project Update History search. The latest offshore field development news and activities are listed below for your convenience.

Asia – Caspian Kashagan Looking to Year-End to Come Online Mar 26, 2012 – The Kashagan field is continuing to be developed in several phases with the first phase targeting first production by year-end 2012. Kashagan is located 50 miles (80 kilometers) southeast of Atyrau, and is the first large-scale offshore petroleum development in Kazakhstan. Project Details: Kashagan Project Australia Roc Oil Offloads Interest in Taranaki Basin Mar 23, 2012 – Roc Oil has withdrawn its interest from offshore exploration block PEP 52181, located in the Taranaki Basin, New Zealand. The company said it has been working to farm-down its 50 percent interest in the block to provide a more balanced equity position prior to entering into a commitment to drill an exploration well on the Kaheru prospect. “The decision to withdraw from the permit was based on the need for ROC to carefully balance expenditure and risk profiles over the coming years, as the Company enters into an intensive period of activity, especially at the Beibu Gulf project, offshore China, and the Balai Cluster Risk Service Contract, offshore Malaysia,” commented Roc’s CEO, Alan Linn in a statement. Project Details: Kaheru Africa – Other BG Group Makes Fourth Gas Discovery in Tanzania Mar 26, 2012 – BG Group hits gas pay again, offshore Tanzania, making this the fourth discovery in the area. Preliminary evaluation of well results indicate gross recoverable resources are in the range of 2.5 to 4.4 Tcf of gas. The discovery was made in Jodari-1, which is situated in a water depth of 3,770 feet (1,150 meters). The well is part of the current three-to-four well exploration program, which also includes the acquisition of 965 square miles (2,500 square kilometers) of 3D seismic data in Block 1. BG Group will now target the Mzia-1 location in Block 1, about 14 miles (23 kilometers) to the north of Jodari-1. Project Details: Jodari Eni Scores Again in Area 4 Offshore Mozambique Mar 26, 2012 – Eni has made a “giant” natural gas discovery in Area 4 offshore Mozamique at the Mamba North East 1 exploration prospect. The operator said that the results of this well are of special importance since they increase the resource base of Area 4 by at least 10 Tcf of which 8 Tcf of these contained in reservoirs exclusively located in Area 4. This new discovery further improves the potential of the Mamba complex in Area 4 offshore Mozambique, now estimated to hold at least 40 Tcf of gas-in-place. Mamba North East 1 encountered a total of 787 feet (240 meters) of gas pay in multiple high-quality Oligocene and Eocene sands. It proved reservoir continuity and pressure communication with Mamba South 1 and Mamba North 1 wells. During 2012, Eni plans to drill at least another four wells in nearby structures to fully assess the upside potential of the Mamba Complex. Project Details: Mamba South/North S. America – Other & Carib. Total to Appraise Zaedyus Discovery in 2012 Mar 26, 2012 – Total plans to conduct an extensive drilling campaign, in the Guyane Maritime License offshore French Guiana, and a further 3D seismic survey in 2012. The license contains the Zaedyus discovery in a water depth of 6,719 feet (2,048 meters). Project Details: Zaedyus Europe – East Gazprom Conducting Engineering Studies on Shtokman Mar 26, 2012 – Total announced that engineering studies are underway for the portion of the Shtokman project that will allow the transport of gas by pipeline through the Gazprom network (offshore development, gas pipeline and onshore gas and condensates processing facilities on the Teriberka site) and for the LNG part of the project. This will allow the export of 7.5 Mt/y of LNG from a new harbor located in Teriberka, representing approximately half of the gas produced by the first development phase. Estimated to hold 3.8 Tcm of natural gas and 37 million tons of gas condensate, Shtokman is situated in the central region of the Russian sector of the Barents Sea, about 372 miles (599 kilometers) north of the Kola Peninsula in water depths measuring 1,050 to 1,115 feet (320 Project Details: Shtokman Europe – North Sea Operations at North Sea Tartan Platform to Restart Soon Mar 29, 2012 – Bridge Energy reported that the Tartan and Duart field operator, Talisman, is working to restart operations on the Tartan platform and projects production to restart at the end of March. The extended shutdown on Tartan has enabled completion of a comprehensive work scope which should increase the near term uptime of the facility, said Bridge. The increased host uptime and a period of flush production following the long shut down is expected to partly offset the delayed production volumes. Technip to Supply Umbilicals for Cheviot Development Mar 29, 2012 – Technip’s wholly-owned subsidiary Duco received a contract by Bluewater Industries for the Cheviot field development. The contract covers engineering, project management and fabrication of four static steel tube umbilicals, four dynamic thermoplastic umbilicals, and a thermoplastic subsea intervention valve umbilical. The total length is 7.5 miles (12 kilometers). The umbilicals will control four drill centers from a floating semisubmersible production facility. The project is scheduled for delivery in 2014. Project Details: Cheviot Total Believes Gas Coming from Rocks above Elgin Reservoir Mar 29, 2012 – Total may have confirmed the source of the gas leak at its Elgin platform in the Norwegian sector of the North Sea. The firm insists that the still-alight flare on the platform does not pose any immediate risk. After reports early Thursday morning that Total had a “good idea” of the source of the gas leak on its Elgin platform, a spokesperson for the firm told Rigzone: “We believe the hydrocarbons are coming from a rock formation above the reservoir at a depth of 4,000 meters [13,120 feet].” On Wednesday evening, Total released a press statement explaining the situation regarding the flare on the Elgin platform. “The flare is an integral part of the platform’s safety system. In an emergency, it is used to safely evacuate all the gas from the platform. During the incident, it performed this task perfectly, allowing everyone to evacuate safely,” said Total. “The flare is still lit because when the platform is shut down and de-pressurised in an emergency, it cannot be fully purged as done in a controlled shutdown. This is perfectly normal. Some liquids do remain in the system and these liquids are now evaporating. As these liquids evaporate, the flow of hydrocarbons to the flare will exhaust itself and the flare should burn out.” Project Details: Elgin/Franklin Sevan Marine to Perform Study of Skrugard/Havis Development Mar 29, 2012 – Statoil has awarded Sevan Marine a study of the potential application of a Sevan FPSO for the company???s Skrugard/Havis development in the Barents Sea. The study will be performed from April 2012 to May 2013 and will be focused on further development of the Sevan FPSO as basis for future preferred concept. Project Details: Skrugard NPD Gives Faroe Approval to Drill Clapton Prospect Mar 27, 2012 – The Norwegian Petroleum Directorate has granted Faroe Petroleum a drilling permit for wellbore 2/8-18. The well will be drilled from the Maersk Guardian (350??? ILC) jackup in Production License 440 S. Well 2/8-18 S is the first exploration well to be drilled in the production license. Project Details: Clapton Aker to Deliver Subsea Connection System for Draugen Project Mar 27, 2012 – Aker Solutions received a contract from Shell to deliver subsea connection systems for the Draugen field on the Norwegian Continental Shelf. The scope of work includes the delivery of complete tie-in connection systems for production flowlines and umbilicals for the expansion of the Draugen field. Management, engineering and procurement of the connection systems will be performed at Aker Solutions’ head office in Fornebu, Norway. Equipment deliveries will be made from 2012 to 2013. Project Details: Draugen Fogelberg Sits Idle as Consortium Mulls Development Options Mar 27, 2012 – Faroe Petroleum reported that the Fogelberg consortium is mulling development plans for the discovery. The discovery is close to the Asgard production and transportation system but it???s currently at maximum levels and the timing of the Fogelberg project therefore remains uncertain. Oil industry groups have several ongoing initiatives to de-bottleneck the gas export system and bring forward new developments in the area. Discovered in 2010, Fogelberg is estimated to contain approximately 3 to 15 MMcm of recoverable oil equivalent. Project Details: Fogelberg Glenlivet Discovery Moving Towards Field Development Plan Submission Mar 27, 2012 – The partners in the Glenlivet discovery are working to mature the project towards concept selection and Field Development plan submission. The field could become a significant part of the new planned UK west of Shetland gas gathering system, which is being installed by Total as part of the Laggan and Tormore gas field development. Glenlivet is situated approximately 19 miles (31 kilometers) from the proposed Laggan and Tormore gas export pipeline to Sullom Voe in the Shetland Islands. Glenlivet was discovered in 2009 when the well encountered gas pay in the Paleocene sandstone. Project Details: Glenlivet Det norske to Commence Development Drilling on Jette Field Mar 27, 2012 – Det norske received consent to use the Transocean Barents (UDW semisub) to drill the Jette field. A plan for development and operation for Jette was approved in February 2012. Det norske will develop the field with a seabed facility tied into the Jotun field. Jette???s planned production start is during the first quarter of 2013. The water depth of the site is 417 feet (127 meters). Drilling is expected to commence during the second quarter of 2012 and last about 155 days. Project Details: Jette (Jetta) Statoil, Det norske Pen Pre-Unit Agreement for Johan Sverdrup Development Mar 27, 2012 – Statoil and partners have signed a pre-unit agreement regarding the Johan Sverdrup discovery in the Norwegian sector of the North Sea. According to the agreement, the owners of production licenses 265 and 501 will cooperate in the planning of the Johan Sverdrup field towards an investment decision and submission of the Plan for Development and Operation (PDO). Statoil has been appointed as the working operator. The work will form the basis for developing and establishing the best field solution for Johan Sverdrup. An agreement for the development and operational phase will be signed between the licensees ahead of the submission of the PDO to Norway’s Ministry of Petroleum and Energy. Project Details: Johan Sverdrup Apache Lines Up Rig to Drill Tryfan Prospect Mar 27, 2012 – Apache has signed a letter of intent for the Borgsten Dolphin (mid-water semisub) to drill the Tryfan prospect. Tryfan is an Eocene channelized sand play in the UK Northern North Sea which benefits from a strong seismic amplitude response. Tryfan has gross prospective resources estimated internally by Valiant to be 24 MMboe. Project Details: Tryfan Valiant Spuds Tybalt Appraisal Well Mar 27, 2012 – Valiant Petroleum has commenced drilling on the Tybalt appraisal well in the UK sector of the North Sea. The work program, which includes a well and a contingent test, is designed to prove commercially exploitable volumes via a nearby infrastructure which includes the Magnus fields and the Dons Area complex. Tybalt is an Upper Jurassic discovery originally made by Valiant in 2010 with gross resources estimated at Valiant to be 7 MMbbls. The well is being drilled by the Borgsten Dolphin (mid-water semisub) rig and is expected to take 35-40 days to complete. Project Details: Tybalt Ithaca Increases Stake in Carna Discovery Mar 26, 2012 – Ithaca Energy has agreed to take over operatorship and increase its working interest in the Carna discovery, located in the UK sector of the North Sea. The transaction with Centrica North Sea Gas Limited increases the company’s working interest in the Carna discovery to a material level from 16 to 32 percent. Carna straddles Blocks 43/21b and 43/22c in a water depth of 177 feet (54 meters). The discovery was made in early 2009 when a gas column in excess of 1490 feet TVD (true vertical depth) and net pay of 127 feet TVD was encountered in well 43/21b- 5Z. The well tested gas at a gross stabilized rate of 8.8 Mmcf/d on a 48/64th choke from a vertical well penetrating the Carboniferous. The Company has agreed to a work program with all of the Joint Venture partners to accelerate development studies of the Carna discovery and, if appropriate to submit a field development plan for approval to the Department of Energy and Climate Change before the end of 2012. Project Details: Carna Total Closes Elgin/Franklin Production Mar 26, 2012 – Total has shut down oil and gas production at its Elgin/Franklin platform in the North Sea following an ongoing gas leak. The firm confirmed that all 238 personnel on the platform have been accounted for and that an aerial surveillance flight has been scheduled to inspect a sheen reported in the vicinity of the platform. Production started from Elgin in March 2001, and Franklin began producing in August 2001. Peak production for hub facility is 280,000 boepd, or 175,000 bpd of condensate and 547.4 MMcf/d (15.5 MMcm/d) of gas. Project Details: Elgin/Franklin Lundin Completes, Tests Johan Sverdrup Appraisal Well Mar 26, 2012 – Lundin Petroleum announced that the Johan Sverdup appraisal well 16/2-11 encountered a 177-foot (54-meter) gross oil column in Upper and Middle Jurassic sandstone reservoir in an oil-down-to situation. A comprehensive logging and coring program was successfully completed as well as a production test in the previously untested Middle Jurassic reservoir. The data from this first well in the 2012 PL501 appraisal program confirmed good reservoir properties. This is in line with the earlier Johan Sverdup wells where the Upper Jurassic reservoir was of excellent quality with a high net to gross ratio. A full scale production test (DST) in the Middle Jurassic reservoir to investigate its flow properties resulted in flow rates, in excess of 2,700 bopd through a restricted 40/64 choke, with good reservoir properties indicating a lateral continuous reservoir. Lundin will now sidetrack the well towards the east to investigate the lateral thickness and property variations of the Jurassic reservoir as well as establish an oil water contact to investigate the possibility of a deeper oil-water-contact in this area. Project Details: Johan Sverdrup BP Spuds North Uist Mar 26, 2012 – BP has commenced exploratory drilling on the North Uist prospect in the UK sector of the North Sea. The well has several reservoir objectives, the most significant of which is North Uist at the Upper Jurassic level. The well will also test the edge of the Cardhu prospect where sandstones of Paleocene age may be present. The Stena Carron (DW drillship) is drilling the well in 4,236 feet (1,291 meters) of water. Project Details: North Uist Statoil Gets Govt Nod to Drill Top Holes on Stjerne Field Mar 26, 2012 – Statoil received consent to drill top holes in development well 30/9-22 on the Stjerne, formerly Katla, field. The plan for development and operation of Stjerne was approved by the Storting in September 2011. Stjerne was later included in the Oseberg Sor field and will be subsea tied-back to the Oseberg Sor platform. The consent applies to drilling of four top holes on the following wells: 30/9-M-11 H, 30/9-M-12 H, 30/9-M-13 H and 30.9-M-14 H. The water depth of the site is about 338 meters (103 meters). Project Details: Oseberg Center Technip Receives Subsea Contract for Quad 204 Project Mar 26, 2012 – Technip received a contract from BP to develop the subsea infrastructure for the Quad 204 project in the UK sector of the North Sea. The Quad 204 project involves replacing the existing Schiehallion production facility with a new purpose built FPSO and installing extensive new subsea infrastructure. This major redevelopment will enable the potential recovery of an additional 450 million barrels of resource and extend production through 2035. The awarded contract includes the removal of the existing Schiehallion FPSO and mooring system; recovery of all existing flexible risers and dynamic umbilical systems; positioning and installing a new FPSO and associated mooring system and anchor piles; supply and installation of 21 dynamic flexible risers; installation of four static and dynamic umbilicals; coating, welding and installation of 13 steel pipelines, totaling 31 miles (50 kilometers); supply and install numerous flexible jumpers; installation of various manifolds, jumpers and infrastructure associated with the field development. Offshore work is slated to begin in 2013. Project Details: Schiehallion (Quad 204) Barryroe Proves to be More than a One-Hit Wonder Mar 23, 2012 – Providence Resources has further flow tested the Barryroe discovery offshore southern Ireland. After an additional 17-foot thick net gas-bearing section was perforated to test the potential of the upper part of the sandstone section, highly productive flow rates of 7 MMcf/d and 1,350 bopd were measured. Providence added that a preliminary modeling of the pressure data indicates that a co-mingled flow rate of 17 MMcf/d and 3,350 bopd at a flowing well-head pressure of around 500 pounds per square inch is achievable. Well suspension operations are now complete and the GSF Arctic III (mid-water semisub) rig will now be demobilized to the UK. Project Details: Barryroe Statoil Hits Oil Pay Near Oseberg Mar 23, 2012 – Statoil has made a small oil discovery in PL053 production license in the Norwegian sector of the North Sea. The consortium is in the process of concluding drilling operations in exploratory well 30/6-28S. The well, drilled by the COSLPioneer (mid-water semisub), proved an oil column of around 40 feet (12 meters) in the Statfjord formation. The estimated volume of the discovery is in the range of 12 to 18 MMbbl of recoverable oil equivalents. Statoil said the find is located beneath the Oseberg field and is a good candidate to be connected to the Oseberg production facilities. The oil discovery lies in the Crimp prospect, which was the secondary target for exploration well 30/6-28S. The primary target was the Crux prospect that Statoil earlier defined as a high-impact gas opportunity. With the Crux prospect Statoil tested a hypothesis for the existence of a separate gas-filled structure underlying the Oseberg field. However, the Crux prospect did not contain hydrocarbons. Project Details: Oseberg Center S. America – Brazil Waimea, Waikiki to be Declared Commercial in 2012 Mar 23, 2012 – Dow Jones Newswires reported that OGX plans to declare the Waimea and Waikiki offshore oil fields commercial in 2012. The Waimea field, which came online in January, will be commercially declared in the second quarter; and Waikiki will also receive a similar declaration some time this year. The operator plans to submit a development plan for Waimea to Brazil’s National Petroleum Agency, or ANP, in the second quarter. Upon approval, additional wells will be connected to the OSX-1 FPSO. Waimea is currently producing about 12,500 bopd from a single production well, with output expected to reach 40,000 to 50,000 bopd by the end of 2012. Increased output is set to come from two additional production wells that will be connected this year, with engineering studies underway to gauge the feasibility of adding a fourth production well. Furthermore, OGX plans to bring Waikiki online in 2013. The operator stated two FPSOs, OSX-2 and OSX-3, are about 30 percent complete and construction is continuing at a Singapore shipyard. N. America – US GOM McMoRan Updates Flow Testing Ops at Davy Jones Well Mar 29, 2012 – McMoRan is continuing to flow test the Davy Jones No. 1 well on Block 230 at South Marsh Island. As previously reported, McMoRan saw positive pressure response from the Wilcox “D” sand which was perforated on March 24, 2012. On March 26, 2012, the operator attempted to perforate the Wilcox “C” sand. As the perforating gun was being removed from the hole, the well began to flow. When the gun was brought to the surface, it was determined that the gun did not fire in the Wilcox “C” sand from what appears to be a simple disconnection of the detonator cord. The company plans to use a new perforating gun to complete the testing of the Wilcox “C” sand. Currently, the test is ongoing from only the Wilcox “D” sand, which resulted in the flare shown in the exhibit attached. The flow from the “D” sand is being affected by considerable debris in the 5-inch liner, from what McMoRan believes to be residual drilling fluid from drilling of the well. Results of a clean flow test, as opposed to the current test hampered by debris, will be announced as further progress is achieved and flow rates are measurable. McMoRan will provide updates as completion operations progress. Project Details: Davy Jones Africa – West Total Acquires 3D Data Offshore Cote d’Ivoire Mar 26, 2012 – Total has commenced exploration work on its CI-100 license offshore Cote d’Ivoire. The company acquired 247,105 acres (1,000 square kilometers) of 3D seismic data at the end of 2011, which completed the 3D coverage of the entire block. Initial exploratory drilling is planned for the end of 2011. Spanning more than 494,211 acres (2,000 square kilometers), the CI-100 block is located about 62 miles (100 kilometers) southeast of Abidjan in water depths ranging from 4,921 to 10,171 feet (1,500 to 3,100 meters). Total Moves Forward with CLOV Development Mar 26, 2012 – Total reported that the CLOV development is progressing as planned with start-up slated for 2014. The CLOV project is located on Block 17 offshore Angola. Total’s Angolan subsidiary, Total E&P Angola, is the operator of Angolan Block 17 with a 40 percent interest. Partners in the license include Statoil with a 23.33 percent interest, Esso Exploration Angola with a 20 percent interest and BP Exploration Angola with a 16.67 percent interest. Project Details: CLOV Total to Further Develop Moho-Bilondo Project Mar 26, 2012 – Total reported that the drilling of two appraisal wells, Bilondo Marine 2 and 3, drilled at year-end 2010 in the southern portion of the Moho Bilondo field confirmed an additional growth potential as an extension of existing facilities. Studies are underway for the development of these additional reserves. The development of these resources in the northern portion of the field, the potential of which was bolstered by appraisal and exploration wells drilled in 2008 and 2009, is also being examined (Moho North project). The field is currently producing nearly 90,000 bopd from 13 subsea wells tied into a floating production unit. The oil is exported to the onshore Djeno terminal. Total operates the license, holding a 53.5 percent interest; Chevron holds 31.5 percent; and Societe Nationale des Petroles du Congo holds 15 percent. Project Details: Moho-Bilondo African Petroleum Contracts Rig for Two-Well Program Mar 23, 2012 – African Petroleum reported that the Narina-1 well reached a total depth of 15,912 feet (4,850 meters) in a water depth of 3,750 feet (1,143 meters). The well encountered a total of 105 feet (32 meters) net oil pay in two different reservoirs including a Turonian submarine fan and an Albian zone. The prospective size of the Turonian reservoir is 61,776 acres (250 square kilometers) based on 3D seismic interpretation but will need to be confirmed through an upcoming appraisal drilling campaign. The operator has secured the Eirik Raude (UDW semisub) for a two-well program with the option for a third well. Drilling is expected to commence in the second half of 2012. Project Details: Narina

Related articles

• BG Group makes fourth gas discovery in Tanzania (mb50.wordpress.com)
• Recap: Worldwide Field Development News (Mar 16 – Mar 22, 2012) (mb50.wordpress.com)
• Recap: Worldwide Field Development News (Mar 9 – Mar 15, 2012) (mb50.wordpress.com)
• MODU Market Spending to Reach USD 48.1bn in 2012 (mb50.wordpress.com)
• Odfjell Offshore Raising up to $500M to Develop Fleet (mb50.wordpress.com)
• Oil leaders, GOP allies, downplay administration’s seismic plans (mb50.wordpress.com)