Daily Archives: May 17, 2012

Recap: Worldwide Field Development News (May 11 – May 17, 2012)


This week the SubseaIQ team added 4 new projects and updated 19 projects. You can see all the updates made over any time period via the Project Update History search. The latest offshore field develoment news and activities are listed below for your convenience.

Europe – North Sea
RWE Begins Development Drilling on Breagh
May 17, 2012 – RWE Dea has begun development drilling at the Breagh gas field in the Norwegian sector of the North Sea. The ENSCO 70 (250′ ILC) has been deployed to start the Breagh development drilling program. Previously drilled wells 42/13-3 and 42/13-5Z, which were suspended for future use as early development wells, will be re-entered and sidetracked to re-drill the reservoir interval. Including the recompletion of these two wells, up to eight development wells are expected to be drilled, completed and put on production over the next two years. First gas from Breagh is expected in the second half of 2012.
Project Details: Breagh
Marathon Takes Reins at Vilje Field
May 16, 2012 – Statoil has transferred operatorship of the Vilje field in the North Sea to Marathon Oil. The agreement does not involve any change of stakes in Production License 036D.
Project Details: Alvheim
Total Begins Elgin Well-Intervention Operation
May 15, 2012 – Total has started a well-intervention operation to stop the leak from the G4 well at its Elgin complex in the North Sea. The well intervention operation consists of pumping heavy mud into the well from the main support vessel, the West Phoenix (UDW semisub) drilling rig via a temporary pipeline connected to the G4 wellhead. Depending on the precise conditions inside the well, the operation and subsequent observation period will last a few days before it is possible to confirm whether the operation has been a success, Total said.
Project Details: Elgin/Franklin
BP Gets Govt Nod to Drill Snadd Outer Prospect
May 15, 2012 – BP has received consent to use the Polar Pioneer (mid-water semisub) drilling facility to drill exploration well 6507/3-9 in the Norwegian sector of the North Sea. Well 6507/3-9 is part of Production License 212 E and the well lies in a water depth of 1,194 feet (364 meters). The objective of the well is to investigate a prospect named Snadd Outer. Drilling will commence soon.
Project Details: Skarv/Idun
Statoil to Commence Drilling Campaign in Barents Sea
May 14, 2012 – Statoil and partners have established a plan to advance exploration drilling in the Skrugard area. The exploration campaign will comprise four new prospects and is scheduled to commence in late 2012. The objective of the drilling campaign is to follow up on the Skrugard and Havis discoveries and to test further upside potential of the area. The four prospects will be drilled back-to-back with the West Hercules (UDW semisub) drilling rig, which will be winterized to meet the weather conditions in the Barents Sea. The drilling campaign will start in PL532 with the Nunatak prospect due to be spud in December this year. Then the rig will proceed to the Skavl prospect located in the same license, and thereafter to the Iskrystall prospect in the neighboring licence PL608. The fourth prospect to be drilled will be announced at a later stage.
Premier Spuds Carnaby Prospect
May 14, 2012 – Premier commenced drilling at the Carnaby exploration well 28/9-5 in the North Sea. The well is being drilled by the Sedco 711 (mid-water semisub) and is being managed by Applied Drilling Technology International. Drilling operations are expected to take about 25 days.
Project Details: Carnaby
Providence Confirms Significant Reservoir Potential at Barryroe
May 11, 2012 – Providence Resources has reported that the 48/24-10z appraisal well, the second well to be tested in the basal sands and the sixth well to be drilled at the Barryroe oil discovery, has successfully logged hydrocarbons. In addition to carrying out comprehensive flow testing, significant data acquisition was also carried out utilizing modern wireline equipment. The newly acquired wire-line log data has now been used to evaluate the potential to directly map the hydrocarbon bearing basal reservoir sands, which were successfully tested in the most recent Barryroe 48/24-10z well. This modeling has confirmed that the basal reservoir sandstone package has a defined seismic response which can be detected clearly within the inverted 3D seismic volume. A preliminary review of the inverted 3D seismic volume indicates that the reservoir sequence is widely developed in the Barryroe area. Detailed interpretation of the inverted seismic data has now commenced and will be used to better define the static oil in place estimates for the Barryroe accumulation.
Project Details: Barryroe
Africa – Other
Eni Scores Big in Coral-1 Discovery
May 16, 2012 – Eni has made a “giant” natural gas discovery in Area 4, offshore Mozambique, at the Coral-1 well. The Coral discovery is estimated to contain between 7 and 10 Tcf of gas in place, exclusively located in Area 4. With these new results at Coral-1, Eni estimates that the resources range between 15 and 20 Tcf of gas in place. The new discovery further increases the total potential of the Mamba complex, which holds between 47 and 52 Tcf of gas in place, according to recent estimates. The discovery well encountered a total of 246 feet (75 meters) of gas pay in single high-quality Eocene sand. This discovery is particularly significant since it confirms a new exploration play, which is independent of those drilled so far in previous Mamba wells. Eni will run a production test on the Coral-1 discovery.
Project Details: Coral (ENI)
BG Makes Mzia Discovery
May 16, 2012 – BG Group has made a gas discovery in the Mzia-1 exploration well in Block 1 offshore southern Tanzania. Mzia-1 is the company’s first discovery within the deeper Cretaceous section and opens an extensive new play fairway within Blocks 1, 3 and 4, to complement the now proven Tertiary fairway. Preliminary evaluation of the results indicates 180 feet (55 meters) of natural gas pay in good quality sands. An extensive logging program has been completed, including the acquisition of pressure data and gas samples. The well has de-risked a number of adjacent Cretaceous prospects, which could form part of a future Mzia hub, stated the operator. These prospects are expected to be tested in a future appraisal program to be defined following incorporation of data from this new well and 3D seismic. The new resources proven by Mzia and the potential of adjacent prospects are currently under evaluation.
Project Details: Mzia
BG Group to Spud Papa Prospect in June
May 16, 2012 – BG Group plans to spud the Papa-1 prospect in Block 3 offshore Tanzania in June 2012. The operator will use the Deepsea Metro-1 (DW drillship) to perform drilling operations in a water depth of 9,843 feet (3,000 meters).
Project Details: Papa
S. America – Brazil
OGX Declares Waimea Complex Commercial
May 15, 2012 – OGX has presented to the National Petroleum, Natural Gas and ANP a Declaration of Commerciality for a portion of the Waimea Complex, of which the proposed new designation is Tubarao Azul field in Block BM-C-41. This declaration of commerciality occurred after assessing results gathered during the Extended Well Test (EWT). The EWT, conducted through the OGX-26HP well, has confirmed excellent perm porosity reservoir characteristics. The development plan estimates a total recoverable volume of 110 million barrels of oil from Tubarao Azul field over the concession period’s production phase.
Apache Agrees to Sell LNG to Tohuku Electric Power Company
May 17, 2012 – Apache and partners have agreed to sell LNG from the Chevron-operated Wheatstone project in Western Australia to Tohuku Electric Power Company (THE). The Wheatstone partners and THE signed a Heads of Agreement to supply up to 1 million metric tons per annum (MTPA) of LNG for up to 20 years. Through its 13-percent share in Wheatstone, Apache Julimar Pty Ltd, an Apache subsidiary, will supply up to 0.13 MTPA, or approximately 19 million cubic feet of natural gas per day, to THE. Wheatstone is under development; the foundation phase of the project will include two LNG trains with a combined capacity of 8.9 MTPA and a domestic gas plant.
Project Details: Wheatstone
Origin Disappointed by Thistle
May 15, 2012 – Origin Energy will plug and abandon its Thistle-1 exploration well after reaching a total depth of 7,431 feet (2,265 meters). No shows were encountered in the objective Waarre sandstones. The well was drilled by the Stena Clyde (mid-water semisub).
Project Details: Thistle
FMC to Supply Offshore Loading Arm Systems for Prelude Development
May 14, 2012 – FMC Technology will supply offshore loading arm systems as part of the Shell Prelude FLNG project. FMC’s scope of supply includes seven offshore footless marine loading arms, four for liquefied natural gas and three for liquefied petroleum gas. FMC’s Loading Systems business in Sens, France will design and manufacture the equipment. The Prelude facility will be built by TSC at the Samsung Heavy Industries shipyard in Geoje, Korea. It will measure 1,600 feet (488 meters) from bow to stern and weigh around 600,000 tonnes when fully loaded. It will be moored over 120 miles (200 kilometers) from land and will produce gas from offshore subsea fields. The facility will treat and liquefy the gas onboard via a cooling process before storing and export it via conventional LNG carriers.
Project Details: Prelude
Black Sea
Melrose to Acquire Seismic Data offshore Romania in June
May 17, 2012 – Melrose plans to commence a work program over its Muridava concession offshore Romania in June 2012. The company will acquire 474,442 acres (1,920 square kilometers) of 3D seismic, sufficient to cover both blocks. A contractor has been selected to conduct the seismic program and detailed contract negotiations are ongoing.
Melrose Obtains Reservoir Data Program over Galata
May 17, 2012 – Melrose Resources has recently conducted a reservoir data acquisition program on the shut-in Galata field to confirm the remaining reserves and gather information required to update the gas storage feasibility study. The results of the program were positive and confirmed remaining reserves of at least 6 Bcf and more limited aquifer movement than previously predicted. Furthermore, the field data indicates that the field could be placed back on production as early as next year, which will be discussed with the Bulgarian authorities over the forthcoming months. The interpretation of the recent 3D seismic survey over the Galata Block is being finalized and a number of structures have been identified within three high graded areas in the central area of the concession. The interpretation is expected to complete in June when the Company will be in a position to provide details of the survey findings and confirm the future drilling plans. An independent prospective resource report is also being prepared for the block by the Company’s reserves auditors.
Project Details: Galata Area
N. America – Canadian Atlantic
Statoil Preps for Newfoundland Drilling Campaign
May 14, 2012 – Statoil has reached an agreement to use Seadrill’s West Aquarius (UDW semisub) to conduct exploratory drilling offshore Newfoundland. Starting late 2012, the operator will begin a three-well drilling program, including two exploration wells in the Flemish Pass Basin, as well as an exploration well in the Jeanne d???Arc Basin.
S. America – Other & Carib.
Borders & Southern Spuds Stebbing Prospect
May 14, 2012 – Borders & Southern has spud exploration well 61/25-1 at the Stebbing prospect in the Falkland Islands. The Stebbing prospect is a thrust cored anticline structure with an area of 33 square miles (85 square kilometers). Objectives comprise Tertiary and Upper Cretaceous sandstone reservoirs. The well duration is estimated to be 49 days.
Project Details: Stebbing
Africa – West
Afren Hits Additional Pay in Ebok
May 17, 2012 – Afren announced that the Ebok North Fault Block exploration well encountered 370 feet (113 meters) true vertical thickness of net oil pay in excellent quality reservoir sands. The Ebok NFB exploration well was spudded on April 12, 2012 by Afren and Oriental Energy Resources, and reached a total vertical depth of 4,320 feet (1,317 meters), with the Transocean Adriatic lX (350′ ILC) drilling rig. The well was targeting a separate fault block structure located to the north of the main Ebok field, and encountered good quality oil in the same Tertiary reservoir sands equivalent to those that have been developed and are in production at the main Ebok field development. The well will be suspended while the partners determine the optimal development solution.
Project Details: Greater Ebok-Okwok Complex
Tap Oil Updates Ops in Accra Contract Area
May 16, 2012 – The Ministry of Energy, Ghana has granted Tap Oil Limited a 12-month extension of the Initial Exploration Period under the Petroleum Agreement in respect of the offshore Accra Contract area. The IEP now ends on Sept. 23, 2013, by which the commitment well must be drilled. New 3D seismic was acquired over the deepwater part of the Contract Area in early 2011. Interpretation of the data at hand indicates multiple large prospects within both the post-rift Upper Cretaceous fan sands (the same play type as Jubilee) and pre-rift Lower Cretaceous rotated fault blocks (the same play type as the Espoir and Baobab oil fields). To date several prospects and leads have been mapped and have unrisked prospective resources of greater than 3 billion barrels. It is anticipated that the commitment well will likely target a large, deepwater, Jubilee look-a-like trap with prospective resources in the range of half a billion barrels. Well planning is in progress with various rig options currently being investigated.
Rialto Energy Granted Exclusive Exploitation Area over Gazelle
May 15, 2012 – Rialto has received formal confirmation from the government of Cote d’Ivoire that the company has been granted an Exclusive Exploitation Area over the Gazelle field on Block CI-202. The EEA granted Rialto with the right to produce hydrocarbons from Gazelle over a tenure period of 25 years. The Gazelle field is the current focus of an initial three-well drilling campaign by Rialto, which commenced with the drilling of the Gazelle-P3 development well in March 2012 and which will be followed by further development and exploration drilling in and around Gazelle during the coming months. The current drilling program is aimed at converting the 58 MMboe of gross mean contingent resources at Gazelle to reserves as well as testing the high impact Chouette oil prospect, which contains a gross mean prospective resource of 84 MMbbls.
Project Details: Gazelle
Chariot Drills Duster in Tapir South
May 14, 2012 – Chariot O&G will plug and abandon its Tapir South pre-salt exploration well (1811/5-1) in the Namibe Basin, offshore Namibia. The well reached a total depth of 16,005 feet (4,789 meters) without encountering commercial hydrocarbons. The well encountered 568 feet (173 meters) of net reservoir sand of Cretaceous age, including two zones in excess of 98 feet (30 meters) with average porosities of 24 percent. Carbonate intervals were also penetrated with porosities of up to 18 percent over a net interval of 92 feet (28 meters). Chariot said that detailed analyses will be conducted on the data collected during the drilling of Tapir South and the information will be used to calibrate the firm’s existing data set. A resource update of the remaining prospectivity in the block will be provided once this evaluation is complete.
Project Details: Tapir South
N. America – US GOM
ClampOn to Provide Detectors for Tubular Bells Project
May 14, 2012 – ClampOn will supply multiple subsea acoustic sand vibration detectors and PIG detectors for the Tubular Bells project. The development is slated for production in 4Q 2014.
Project Details: Tubular Bells
Asia – SouthEast
PTSC M&C to Construct Wellhead Platforms for White Lion Project
May 11, 2012 – PTSC M&C has won a major detailed engineering, procurement, construction, installation, hook-up and commissioning contract. The scope of work includes two wellhead platforms, Thang Long and Dong Do, with topsides weighing about 1,100 tonnes each, 9-mile (15-kilometer) infield pipeline and 87-ton PLEMs and PLET. The project completion is scheduled for August 2013. The White Lion field is slated to come online in October 2013.
Su Tu Trang Jacket, Topside Leaves Yard for Field Installation
May 11, 2012 – Thang Long JOC reported that the Su Tu Trang jacket and topside for the White Sealion field has sailed away from the PTSC M&C fabrication yard in Vung Tau City. Su Tu Trang is a turn-key project which was awarded to PTSC M&C in March 2010 by Cuu Long JOC for engineering, procurement, construction, installation, hook-up and commissioning of a 1,400-ton topside, 1,200-ton jacket, 1,000-ton jacket pile, 19.5 kilometer-long infield pipeline and the additional modification for the existing Su Tu Vang Central Processing Platform. The detailed design work was completed in November 2011 by Nippon Steel Engineering Company Limited (NSEC) under the supervision of PTSC M&C. Overall project management; procurement and fabrication was carried out and managed by PTSC M&C as part of its turn-key, EPCI contractor???s responsibilities. PTSC M&C is now targeting the finish date of offshore installation campaign to be in early July 2012.

Obama: Born in Kenya and raised in Indonesia and Hawaii

Obama's Literary Agent in 1991 Booklet: 'Born in Kenya and raised in Indonesia and Hawaii'

Read more:

The Vetting – Exclusive – Obama’s Literary Agent in 1991 Booklet: ‘Born in Kenya and raised in Indonesia and Hawaii’.

Enterprise Products, Enbridge Announce Completion Of Seaway Pipeline Reversal


(RTTNews.com) – Enterprise Products Partners L.P. (EPD) and Enbridge Inc. (ENB, ENB.TO) said Thursday that modifications to the Seaway crude oil pipeline allowing it to transport crude oil from Cushing, Oklahoma to the U.S. Gulf Coast have been completed.

According to the companies, the pipeline is in the process of being commissioned, and the first flows of crude oil into the line are expected to begin this weekend.

The reversal of the 500-mile, 30-inch diameter pipeline, which had been in northbound service since 1995, provides North American producers with the infrastructure needed to access more than 4 million barrels per day of Gulf Coast refinery demand.

The reversal will initially provide 150,000 BPD of capacity, which is expected to increase to more than 400,000 BPD in the first quarter 2013 with additional modifications and increased pumping capabilities.

Seaway Crude Pipeline Company LLC is a 50/50 joint venture owned by affiliates of Enterprise Products Partners and Enbridge Inc. In addition to the pipeline that transports crude oil from Cushing to the Gulf Coast, the Seaway system is comprised of a terminal and distribution network originating in Texas City.

For comments and feedback: contact editorial@rttnews.com



UK: BP Places Order for 4 Platform Supply Vessels


BP announced today it has ordered four new platform support vessels (PSV) to help deliver its long term business strategy in the North Sea. The vessels will be deployed to support its West of Shetland (WoS) and Norwegian operations and be delivered between the winter of 2013 and summer of 2014.

The purpose built and highly specified vessels have been designed to provide long term support to BP’s North Sea business and will provide the capabilities BP requires to deliver its strategy more efficiently and safely. The vessels will have oil spill response capability and special tanks to transport fluids required for planned enhanced oil recovery (EOR) schemes.

Performance and safety will also be further improved by having dedicated crews on long term hire, minimising turnover and enhancing familiarity with BP’s processes.

Trevor Garlick, Regional President for BP North Sea, said, “Our long term commitment to the North Sea gives us the confidence to make major investments in vital support services. These new vessels will provide BP with a number of safety and commercial benefits, as well as allow for the greater deployment of technology. Improving our capability to recover more oil from our reservoirs is crucial to the future of the North Sea.”

The announcement is also positive news for the local economies in Scotland and Norway, as nearly 80% of the total project and operating costs will be spent there. The operating and maintenance work will be locally supplied and officers and crew will be UK and Norwegian qualified mariners. The vessels’ operators will support seafarer’s development by sponsoring personnel through their professional qualifications, including an Officer Cadet training scheme.

Mark Hardie, UK Logistics Manager for BP’s North Sea Region, said: “This is a significant investment in BP’s North Sea marine capability and will bring a number of business and local benefits from late 2013 onwards. The UK dedicated vessels will be based and maintained in Aberdeen.”

The arrangement is structured such that BP Shipping has contracted Hyundai to build the vessels and then hire them to BP Exploration Operating Company on a 15 year bareboat term charter. This project is consistent with BP’s strategy for marine offshore supply vessels that promotes vessel ownership where long term ‘life of field’ can be demonstrated.


Gulf Keystone Silences Twitter Fantasist Behind Share Collapse


by  Dow Jones Newswires
James Herron
Thursday, May 17, 2012

LONDON – U.K.-listed oil explorer Gulf Keystone Petroleum PLC obtained assurances Thursday that an individual who spread damaging rumors about the company on message-distribution system Twitter, which were later admitted to be fantasies, would cease to comment publicly on the company’s activities.

According to court documents, 28-year-old Spencer Freeman posted numerous messages on Twitter about Gulf Keystone between June 2011 and May 2012, culminating in a claim May 9 that the company was preparing to raise cash by issuing shares at a price of 160 pence, a 22% discount to its closing share price the previous day.

Shares in Gulf Keystone plunged by as much as 9% that day and remained down until the company refuted the claims in a regulatory filing May 10.

Gulf Keystone was seeking to prevent Freeman “posting untrue and damaging allegations” that prompted a collapse in its share price and took up substantial management time “dealing with disgruntled investors and press inquiries,” according to court documents.

Freeman will voluntarily abide by Gulf Keystone’s demands, in an agreement that will have the same legal force as a court injunction, said Justice David Bean, the presiding judge in the case. Gulf Keystone will take no further proceedings against Freeman, but he could face contempt of court charges if he breaches his undertakings, said Bean.

Freeman and a spokeswoman for Gulf Keystone declined to comment on the hearing.

Gulf Keystone’s main assets are large oil discoveries in the Kurdish region of Iraq. Its shares have been highly volatile, rising and falling almost twofold as unfounded rumors swirled that it would be subject to a takeover bid from U.S. oil giant Exxon Mobil Corp.

Copyright (c) 2012 Dow Jones & Company, Inc.


Texas: Experts deliver another round of Eagle Ford bullishness

Welding crews are busy laying pipelines such as this one east of Karnes City, Texas in order to get oil and gas extracted from the Eagle Ford shale formation to market. Pipelines are critical because hauling by truck is more expensive. JOHN DAVENPORT/jdavenport@express-news.net

Welding crews are busy laying pipelines such as this one east of Karnes City, Texas in order to get oil and gas extracted from the Eagle Ford shale formation to market. Pipelines are critical because hauling by truck is more expensive. JOHN DAVENPORT/jdavenport@express-news.net

Posted on by Dan X. McGraw

SAN ANTONIO – The development of the Eagle Ford shale continues to prompt dazzling assessments and predictions from experts, who said at an energy symposium Wednesday that in four years, the oil-rich formation could become the nation’s second-most productive shale play.

Production in the Eagle Ford could reach 1 million barrels a day by 2016, said Trevor Sloan, director of energy research at ITG Investment Research in Calgary, Alberta.

Read More: Fuel Fix » Experts deliver another round of Eagle Ford bullishness.

Norway: Lundin to Drill 12 Wells with Island Innovator Rig


Marine Accurate Well ASA – MARACC has signed a 12 well drilling Contract with Lundin Norway AS for the semi-submersible drilling rig Island Innovator

The contract is expected to provide Island Innovator with minimum of two years of  drilling operations offshore Norway with commencement in the 2nd  quarter of 2013 plus options for 3×4 additional wells.

The value of the initial contract period is expected to be around USD 370 million including mobilization and moving the rig to Norway. Maracc is scheduled to take delivery of its new build semisubmersible drilling and heavy well intervention rig in the 3rd quarter 2012 from the Cosco Shipyard Group in Nantong, China.

The rig will be operated by Odfjell Drilling AS.

Simen Lieungh, CEO of Odfjell Drilling said “The operation of Island Innovator will be an important contribution to Odfjell Drilling’s activity on the Norwegian continental shelf. The contract between the owner Maracc and Lundin Norway AS will mean greater predictability for Odfjell Drilling and our operations in Norway. We will need around 170 employees to operate the rig.

The construction of Island Innovator is being completed at Cosco Shipyard, Qidong in China. Odfjell Drilling has mobilised a follow-up team at the yard that will ensure progress and the quality of the remaining work. The rig will fly the Norwegian flag and will have an Acknowledgement of Compliance (AOC) for mobile installations from the Petroleum Safety Authority Norway.


UK: Nautronix to Supply Acoustic Positioning System for Noble’s New Drillship


Nautronix have secured another order for the supply of their NASDrill RS925 deepwater acoustic positioning system for Noble Corporation’s fourth new ultra-deepwater drillship. In 2011, Nautronix was awarded the contracts for supplying their NASDrill RS925 system for Noble’s first three new drill ships.

All new vessels will be constructed at Hyundai Heavy Industries shipyard in Ulsan, Korea and will be based on a Hyundai Gusto P10000 design. The rigs will have DP-3 station keeping abilities and the capacity to handle two complete BOP systems allowing for operation in water depths of up to 12,000 feet.

Mark Patterson, Nautronix CEO, commented “This order further strengthens our relationship with Noble Corporation and I believe that it demonstrates their confidence in our NASDrill RS925 system”.

NASDrill RS925 has been designed specifically to meet the requirements for a reliable, stable DP and position reference system for demanding offshore operations, in particular deepwater drilling vessels.

The system combines the two most accurate deepwater acoustic positioning technologies – Short Baseline (SBL) and Long Baseline (LBL) – to calculate multiple independent position solutions providing reliable, repeatable input to the vessel DP system; with SBL mode providing accuracies of 0.15% slant range and LBL mode providing accuracies up to 1m RMS independent of water depth.

The NASDrill RS925 system is supplied with all external interfacing to the Dynamic Positioning System for automatic station keeping and can be used as part of an integrated acoustically-aided INS positioning solution.

The system is also fully upgradable to use NASeBOP and NASNet® (Nautronix unique underwater GPS).

As with all Nautronix leading commercial acoustic systems, NASDrill RS925 utilises Nautronix proprietary ADS² (Acoustic Digital Spread Spectrum) broadband signalling technology which has been proven, with over ten years of successful subsea operations, to provide superior accuracy, repeatability and reliability for dynamic positioning of vessels during deepwater drilling operations.


%d bloggers like this: