This week the SubseaIQ team added 0 new projects and updated 15 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.
N. America – US Alaska
Nov 1, 2012 – Shell’s Alaskan arctic drilling program in the Beaufort and Chukchi Seas has reached the end of operations date mandated by the government. The company wasn’t able to make as much progress as hoped due to a late start caused by legal, regulatory and equipment issues. The Kulluk (SW semisub) and Noble Discoverer (mid-water drillship) were only able to drill tophole sections at the Sivulliq and Burger-A prospects. Shell plans to resume activities when the sea ice retreats next summer. For the off-season, the Kulluk will be towed to Dutch Harbor and Noble is weighing options for the Noble Discoverer.
Project Details: Burger, SW Shoebill, Cracker Jack
Nov 1, 2012 – The Maari field, operated by OMV New Zealand, has produced 20 million barrels of oil since startup in 2009. Maari is the largest producing field in the country and is expected to produce for another decade. Production peaked at 40,000 bopd and has slowed to its current rate of 12,000 bopd. OMV plans to drill additional development wells into what it hopes are untapped accumulations in the field. If the additional wells are successful they will help stabilize the natural decline in production.
Project Details: Maari
N. America – US GOM
Nov 2, 2012 – Dalmatian South, operated by Murphy Oil and located in De Soto Canyon block 134, has been confirmed as an oil discovery by partner Ecopetrol. The discovery is Ecopetrol’s third in the U.S. Gulf of Mexico since 2011 and the second of 2012. The Noble Jim Day (DW semisub) drilled the initial exploration well and subsequent sidetrack in 6,394 feet of water. Hydrocarbons were confirmed through electric logs and fluid samples. Dalmatian South lies 6-miles to the southeast of the main Dalmatian field. Production startup from Dalmatian is planned for 1Q 2014 through a tieback to the Petronius platform.
Project Details: Dalmatian
Africa – West
Nov 1, 2012 – GE Oil & Gas was awarded a $165 million contract to supply subsea production equipment to Chevron‘s offshore Lianzi project located between Angola and the Republic of Congo. The contract covers the supply of seven trees, nine subsea control modules, topside and subsea controls distribution equipment and vertical connection systems. The first tree is scheduled to be completed in 4Q 2013. Lianzi lies at a depth of 2,950 feet and will be developed with a subsea production system tied to the BBLT platform via a 27-mile heated flowline.
Project Details: BBLT
Nov 1, 2012 – In a report issued by Rialto Energy, the company announced the completion of the 200+ day Gazelle Field drilling campaign in block CI-202 offshore Cote d’Ivoire. Rialto feels that the field has been adequately appraised and is in the process of reviewing possible development solutions. The company continues to review 3D seismic data covering the entire block. Several new targets have been identified and are being evaluated for inclusion in the 2013 exploration and appraisal drilling program. Vantage Drilling’s Sapphire Driller (375′ ILC) has been contracted for the 2013 program which includes three firm wells with two options. In addition, Rialto intends to commence a farmout process in 4Q 2012 to identify partners to participate in and fund the exploration and appraisal program.
Project Details: Gazelle
Nov 1, 2012 – Chevron subsidiary Cabinda Gulf Oil Company Limited awarded WorleyParsons and INTECSEA a FEED (front-end engineering and design) contract regarding the Lucapa oil field in Angola’s Block 14. The field is envisioned to be developed via subsea production and injection wells tied back to an FPSO, all in roughly 4,000 feet of water. The Lucapa development is a joint venture between Chevron, Sonangol, ENI, Total and Galp with Chevron serving as operator. The contract value has not been released.
Project Details: Lucapa
Oct 31, 2012 – Afren PLC announced the start of production from the Okoro East field in the shallow waters of OML 112 offshore Nigeria. Drilled form the existing Okoro wellhead platform, the Okoro-14 development well was drilled with the intention of establishing early production from the East field – discovered in January 2012. The well has been completed and tied into the Okoro FPSO at a stabilized rate of 5,000 bopd. Okoro-14 is the most productive well drilled in the Okoro area to date.
Project Details: Okoro
S. America – Brazil
PanAtlantic Spinds Bit at Jandaia
Nov 2, 2012 – Exploration drilling is underway at the PanAtlantic-operated Jandaia prospect in block BM-S-71 in the southern Santos Basin. Transocean’s Arctic I (mid-water semisub) is drilling the well in 520 feet of water. The rig is expected to be on location for up to 3 months as it drills to an estimated total depth of 20,100 feet. The well is targeting shallow and deep prospects in the Upper Jureia formation and post-salt Guaruja limestone respectively.
Europe – North Sea
Nov 2, 2012 – Faroe Petroleum announced its intention to relinquish operatorhsip and interest held in West of Shetland license P1161. Since exploration well 206/5a-3 was drilled in the Fulla prospect the company has been working to establish resource potential and an economical joint development solution for Fulla and the nearby Freya prospect. The area is hindered by lack of access to existing infrastructure and research has confirmed relatively poor oil quality and smaller than expected resource size. Based on these factors, the company will terminate operations in the license and concentrate efforts on its existing West of Shetlands portfolio that includes four provisional exploration licenses that were recently awarded.
Project Details: Freya
Oct 31, 2012 – Bridge Energy, 20% partner in PL 554 offshore Norway, confirmed the plan to move forward with a sidetrack of Grantiana well 34/6-2S. Well 34/6-2A will be drilled by the Borgland Dolphin (mid-water semisub) in an effort to prove additional oil volumes in the formation and determine the oil/water contact. Sidetracking operations will take place once the drilling permit has been approved by Norwegian authorities.
Project Details: Garantiana
Oct 31, 2012 – After outliving its estimated service life by 9 years the partners in the Glitne field have decided that nothing more can be economically produced from the reservoir. To date, the field has produced 55 million barrels of oil which more than doubles the original estimate. Several new wells have been drilled in the field since production first began in 2001. The final well, drilled earlier this year, demonstrated that Glitne is no longer viable. Oil from the field is produced through the Petrojarl FPSO. Teekay, the vessel’s owner, has been given a six month notice of contract termination. A total of seven wells will be plugged and abandoned in order to close the field.
Project Details: Glitne
Asia – Far East
Nov 2, 2012 – Husky Oil’s Liwan Gas Project in the South China Sea is approximately 75% complete. The central platform jacket has been constructed and anchored to the seabed. Topsides will be completed and ready for installation in the second quarter of 2013. The Mono-ethylene Glycol Recovery Unit, an important module on the central platform, is nearing completion. Roughly half of the two 49 mile subsea pipelines have been laid from the gas field to the central platform. Liwan remains on schedule for startup by early 2014.
Project Details: Liwan
MidEast – Persian Gulf
Nov 1, 2012 – Norwegian oil and gas company DNO International announced test results of the recently completed West Bukha-4 well offshore the Sultanate of Oman. On a 54/64-inch choke, the well flowed 7,000 barrels of 39 degree API oil and 15 million cubic feet of gas per day through a test separator. Once the new well is on-line, production from the West Bukha field is expected to achieve 15,000 barrels per day which almost doubles the current rate. Boasting a total depth of nearly 19,700 feet, the well has the longest reach of any drilled well in Oman’s waters. West Bukha-4 targeted a previously un-drilled zone and is the second of a three well Block 8 drilling campaign initiated last year.
Project Details: Block 8
Asia – SouthEast
Nov 1, 2012 – Malaysian Prime Minister Najib Razak released a statement via his personal website indicating a significant discovery of additional oil reserves at the Bertam field in block PM 307. The new discovery raises the field’s recoverable resources to 64 million barrels. A preliminary development plan estimates first oil in 3Q 2014 with a max output of 20,000 barrels per day. Lundin Petroleum operates the block with a 75% stake while Petronas Carigali holds the remaining 25%.
Project Details: Bertam
Natuna Gets New Plumbing
Oct 31, 2012 – Hallin Marine completed a subsea infrastructure, umbilicals, risers and flowlines project at the Natuna gas field offshore Malaysia. Under the $3 million contract Halling was responsible for engineering, procurement, installation and commissioning of installed systems as well as the abandonment of some existing infrastructure. Natuna is the largest gas field in southeast Asia with estimated recoverable reserves of approximately 46 trillion cubic feet.
PetroVietnam Secures Funding for Cuu Long Basin Block
Oct 31, 2012 – PetroVietnam secured a 7 year syndicated loan of $140 million from five domestic banks for the development of offshore block 15-2/01 in Vietnam’s oil laden Cuu Long Basin. Talisman Energy operates the block, through the Thang Long JOC, holding 60% interest while PetroVietnam maintains the remaining 40%. The funds will be put towards the development of the Hai Su Trang and Hai Su Den fields located within the block. Talisman indicates the fields will be tied into the existing Te Giac Trang facilities on adjacent block 16-1 with first oil expected near the end of 2013.
- Worldwide Field Development News Oct 13 – Oct 19, 2012 (mb50.wordpress.com)
- Worldwide Field Development News Oct 20 – Oct 26, 2012 (mb50.wordpress.com)
- Gulf of Mexico: Quest Offshore Sees Bright Future for Deepwater GoM (USA) (mb50.wordpress.com)
- Worldwide Field Development News Oct 9 – Oct 15, 2012 (mb50.wordpress.com)
- USA: Aker Solutions to Supply Umbilicals for Murphy’s Dalmatian Field (mb50.wordpress.com)
- Worldwide Field Development News Sep 29 – Oct 5, 2012 (mb50.wordpress.com)
Aker Solutions’ subsidiary Aker Oilfield Services has received a contract from Total E&P Angola for providing subsea intervention services from the oil services company’s purpose-built intervention vessel, Skandi Aker. The agreement marks a breakthrough for vessel-based intervention services in deep and ultra-deep waters.
The agreement is valid for a period of two (2) years plus options for three further one-year (1+1+1) periods. The firm two-year part of the contract has an aggregated value of approximately USD 250 million. Start-up of operations is planned to take place offshore Angola in Q1 2013.
Skandi Aker is the first well service vessel of its kind capable of performing riser-based subsea well intervention in deep and ultra-deep waters. Traditionally subsea well intervention has been performed from drilling rigs. But the rigs’ high day rates have made such operations very expensive, while rig availability has been limited. The increasing water depths also mean that it has been necessary to develop alternative technology and more cost effective systems to access deepwater wells.
“Skandi Aker is able to perform deepwater well intervention services that oil companies previously needed drilling rigs to conduct. More importantly we do it quicker and more cost effectively, which will increase the frequency of intervention operations and enable our customers’ subsea wells to produce more oil and gas,” says Karl Erik Kjelstad, president of Aker Oilfield Services and head of the Oilfield Services & Marine Assets (OMA) business area in Aker Solutions.
“We are thrilled with this award and to be able to deliver on our vision of developing a cost effective technology for intervention activities at deepwater subsea fields. We are humble about the trust placed in us by Total E&P Angola and their license partners, and look forward to deliver high quality services with the ultimate aim of increasing oil recovery ratios,” adds Kjelstad.
Under the contract Skandi Aker will perform subsea intervention activities related to:
– Well re-entry for testing operations
– Well re-entry for interventions using wireline, coil tubing and well stimulations
– Running/lifting subsea trees with cable or work-over riser
– Suspension or plug and abandonment of wells
Provision of the downhole well services, well test services and ROV services will be provided through separate contracts, outside Aker Solutions’ scope of services for Total E&P Angola.
“In recent years we have made significant investments in developing capabilities for vessel-based subsea intervention activities – both with regards to suitable deepwater technologies and services. We are pleased to see that these investments continue to materialise into contracts,” adds Karl Erik Kjelstad.
Aker Oilfield Services has built up significant resources for subsea intervention and subsea well intervention work. In addition to Skandi Aker, Skandi Santos has since March 2010 been operating very successfully on a 5+ year contract performing subsea intervention work offshore Brazil. Further, In April 2012 the company was awarded a long-term agreement with Statoil to provide a full range of heavy well intervention and light drilling services on the Norwegian continental shelf. The contract period is for eight years, with options for three further two-year periods (2+2+2). Work will be performed from a new build Category B well intervention rig owned and operated by Aker Oilfield Services.
- Successful final commissioning of Expro’s AX-S subsea well intervention innovation (mb50.wordpress.com)
- WWCS, DOF Subsea Conduct Subsea Services in US Gulf Of Mexico (mb50.wordpress.com)
- Statoil Charters Light Well Intervention Vessels to Increase Recovery (mb50.wordpress.com)
- Houston, Texas: Deep Down Receives Multiple Services Contracts (mb50.wordpress.com)
AMEC, the international engineering and project management company, has been awarded a contract from BP Exploration & Production Inc. (BP) to provide Front End Engineering Design services (FEED) for the topsides facilities for the second phase of the Mad Dog field development. The new facility will be of one of the largest floating production systems to be installed in the Gulf of Mexico.
The contract value has not been disclosed.
“This award is the latest in our on-going global engineering and project management services agreement with BP and continues our long-term collaboration with the largest oil producer in the Gulf of Mexico,” said Simon Naylor, President of AMEC’s Natural Resources Americas business. “The contract further strengthens AMEC’s track record in the development of global deepwater facilities, building on current offshore projects in Brazil and Angola.”
The new facility will produce oil and gas from the Phase 2 development area within the existing Mad Dog field in the Green Canyon region of the Gulf of Mexico, about 200 miles (320 kilometres) south of New Orleans, Louisiana.
Deepwater projects are increasingly important in helping to meet rising demand for oil and gas around the world.
- USA: Technip Wins FEED Contract for Mad Dog Phase 2 Project (mb50.wordpress.com)
- BHP Billiton: Funds Approved for Mad Dog Phase 2 (USA) (mb50.wordpress.com)
- BP to Sell GoM Assets as it Focuses on Growth (mb50.wordpress.com)
- USA: Anadarko Completes Heidelberg Sidetrack Appraisal Well (mb50.wordpress.com)
French supermajor Total, operator of Block OML138, announces the start-up of production of the offshore Usan field in Nigeria, in line with the planned schedule. Usan is the second deep offshore development operated by Total in Nigeria, coming on stream less than three years after Akpo.
Discovered in 2002, the Usan field lies around 100 kilometers off the South East Nigerian coast in water depths ranging from 750 to 850 meters. The Usan development comprises a spread moored Floating Production, Storage and Offloading (FPSO) vessel designed to process 180 000 barrels per day and with a crude storage capacity of 2 million barrels. Its size of 320 meters long and 61 meters wide makes it one of the largest vessels of this type in the world. Development involves 42 wells that are connected to the FPSO by a 70 kilometers long subsea network.
Yves-Louis Darricarrère, President Exploration-Production at Total, stated on the occasion:
“I’m particularly proud to announce start-up of this major project together with the concession holder NNPC. This project demonstrates the ability of Total, a key operator of large-scale deep offshore developments in the Gulf of Guinea, to lead ambitious projects that will contribute to increase production for the Group and for the country. Total as operator has introduced a number of technological innovations, among which is a solution that drastically reduces gas flaring and thus minimizes the project’s environmental impact. The development of Usan has involved a record 60% of local content man-hours and thus has contributed to strengthening the know-how of the Nigerian industry in the area of hydrocarbon exploitation in the deep offshore.”
The Usan project has involved an unprecedented level of Nigerian local content, with over 500,000 engineering man-hours and 14 million construction and installation man-hours performed in Nigeria. FPSO construction included an offshore integration of 3,500 tons of locally fabricated structures. In addition, large-scale training and capacity building programs were put in place, raising the skills of the local workforce to the benefit of future projects.
Total’s wholly owned subsidiary Total E&P Nigeria Ltd. operates OML 138 with a 20% interest, while Nigerian National Petroleum Corporation (NNPC) is the concession holder. Total’s partners are Chevron Petroleum Nigeria Ltd. (30%), Esso E&P Nigeria (Offshore East) Ltd. (30%) and Nexen Petroleum Nigeria Ltd. (20%).
Offshore Energy Today Staff, February 24, 2012
- Total starts production at Usan field in Nigeria (marketwatch.com)
- Usan Production Will Mitigate Yemen Loss, Nexen Says (mb50.wordpress.com)
- Geopolitical stakes in Nigeria: Curious role of the IMF (mb50.wordpress.com)
This new discovery, in addition to the Mamba South discovery from October 2011, further increases the potential of the Mamba complex in the Area 4. It is estimated that the total volume of gas in place reaches now about 850 billion cubic meters (30 tcf).
The Mamba North 1 discovery, located in water depths of 1,690 meters, reaches a total depth of 5,330 meters and is located approximately 23 Km north of Mamba South 1 discovery and 45 Km off the Capo Delgado coast. The discovery well encountered a total of 186 meters of gas pay in multiple high-quality Oligocene and Paleocene sands.
During the production test, the first performed at offshore Rovuma, the well produced high quality gas with flow rates, constrained by surface facilities, of about 1 million cubic meters a day and minor volumes of condensates. In a final production completion configuration, estimated gas production per well is expected to reach over 4 million cubic meters a day.
During 2012, Eni plans to drill at least other five wells in nearby structures to assess the upside potential of Mamba Compex.
- Mozambique: Eni Increases Mamba Gas Reserves Estimate
- Eni Makes Significant Gas Discovery Offshore Mozambique
- Iran’s Gas Production Capacity to Increase to 1.4 bcmpd Over 3 Years
- Eni Announces Successful Appraisal and Testing of Cabaca South East, offshore Angola
- Iran: Daily Gas Reception Capacity from SP May Reach 300 Million Cubic Meters
- Anadarko Makes Substantial Gas Discovery Offshore Mozambique (mb50.wordpress.com)
- Another Success Offshore Mozambique for Anadarko (mb50.wordpress.com)
- Cove Energy: Rovuma Block Off Mozambique May Have 40 TCF of Gas (mb50.wordpress.com)
- Worldwide: Project Field Development News (mb50.wordpress.com)
French oil major Total said today it intended to continue to actively manage its asset portfolio with, in particular, a program of non-strategic asset sales.
The 2012 budget for organic investments is $24 billion , of which more than 80% will be dedicated to the Upstream.
In the Upstream, Total expects in 2012 to implement its strategy to accelerate production growth and increase the profitability of its asset portfolio.
The ramp-up of Pazflor in Angola and the start-up of several major projects, including Usan in Nigeria, Angola LNG, and Bongkot South in Thailand, will contribute to production growth in 2012 and to achieving the objective of growing production by 2.5% per year on average between 2010 and 2015.
“The successful start-up of the Pazflor field in Angola was the crowning achievement of an important year for Total. This start-up and the ones to follow will ensure a return to production growth in 2012 and the years to come”, Chairman and CEO Christophe de Margerie said.
After launching Ichthys in Australia, announced at the start of this year, Total said it intends to continue work on the drivers for post-2015 growth by preparing to launch, notably, projects in West Africa, Russia and Canada.
The Group today announced 2011 adjusted net income of $15.9 billion which is an increase of 17 per cent when compared to full year results from 2010.
Commenting on the results de Margerie said:
“In a period of economic slowdown, ongoing tensions on the global oil supply supported the Brent price above 110 S/b in 2011. This environment has been favorable for the Upstream, but it was difficult for the Downstream activities, notably in Europe. In this context, the Group posted a 17% increase in earnings, expressed in dollars, compared to 2010. With its track record of operational excellence, the Group also confirms its constant improvement in safety performance.”
- France: Total Announces 72% Profit Increase Compared to 2nd Q 2009
- Angola: Total Inaugurates Pazflor
- USA: KBR President Pleased with 1Q Business Results
- Total Starts Production at Pazflor, Offshore Angola
- Norway: Statoil 3Q Net Income Rises 39 pct
- A West African Giant – Total’s Pazflor FPSO is Inaugurated (gcaptain.com)
- Oceaneering Bags Angola Gig from BP (mb50.wordpress.com)
- Offshore Lists Top 5 Offshore Field Development Projects (mb50.wordpress.com)
- Angola: Oil Ministry Says US Will be Main Market for LNG Export (mb50.wordpress.com)
- Angola LNG Looks to Sell Liquefied Natural Gas to Non-U.S. Buyers (mb50.wordpress.com)
Songa Offshore, Cyprus-based offshore drilling company, today provided a fleet update for October 2011.
Songa Venus remained on location for Petronas Carigali, Malaysia through-out the period. The rig was shut down during the majority of the period and completed earlier announced repairs and testing of re-worked BOP components on December 19. The unit achieved 100% operating efficiency for the remainder of the period after re-commencing operations.
Songa Mercur completed its de-mobilization and load off from Sakhalin, Russia to Labuan Malaysia end of October and the rig has undergone extensive contractual acceptance testing and installation of third party equipment through November and December. The rig is now fully accepted and scheduled to depart for commencement of its two well program in Malaysia with Petronas Carigali.
Songa Dee continued its program for Statoil at the Gulfaks field, and the rig achieved an average operating efficiency of 99% during the period.
Songa Delta completed its scheduled SPS and rig upgrade yard stay at CCB base outside Bergen, Norway during the period. The yard stay was extended from an original 40 days to 56 days mainly due to extended work scopes and additional work related to the BOP system. The rig was then further delayed by weather and remained in sheltered waters until 6th January and is currently in process of anchoring up at location in order to re-commence the contract with Wintershall / Det Norske Oljeselskap.
Songa Trym achieved an operating efficiency of 99% during the period. The rig continues to operate for Statoil in Norway.
Songa Eclipse completed its mobilization to Angola during the period, and the rig is currently undergoing final rig contractual acceptance testing which is expected to be completed during second half of January. The rig will thereafter commence its one well plus 18 month contract with Total E&P Angola
- South Korea: Songa Offshore Orders Two Rigs from DSME (mb50.wordpress.com)
- Israel: DSME Signs Tamar Deal (mb50.wordpress.com)
- Norway: Island Offshore Charters Two Vessels to Schlumberger (mb50.wordpress.com)
- Norway: DOF Subsea to Provide Offshore Survey & Construction Services to Statoil (mb50.wordpress.com)
- Oceaneering Bags Angola Gig from BP (mb50.wordpress.com)
|This week the SubseaIQ team added 1 new projects and updated 16 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.|
- Ophir Begins with Drilling Operations Offshore Tanzania (mb50.wordpress.com)
- Angola: Azul-1 Deepwater Well Brings Oil to Maersk Oil (mb50.wordpress.com)
- USA: Saratoga, McMoRan in Vermilion 16 Field JV Talks (mb50.wordpress.com)