Blog Archives
USA: Pangea LNG Seeking Approvals for Corpus Christi Project
Pangea LNG Holdings announced that it has begun the process of seeking approvals necessary to build a liquefied natural gas export facility on Corpus Christi Bay in South Texas.
Pangea has filed an application with the U.S. Department of Energy seeking authority to export up to eight million metric tons per year of liquefied natural gas to all current and future countries with which the U.S. has a Free Trade Agreement and intends to quickly file a similar application for LNG exports to any country with which the U.S. does not have a Free Trade Agreement in effect.
The project is located in the city of Ingleside on the La Quinta Ship Channel which is part of the Port of Corpus Christi. The project will be known as South Texas LNG Export.
South Texas LNG Export will be located on a portion of a 550-acre site which includes half a mile of frontage on the federally-maintained deepwater ship channel. Pangea has had the site under option since June. A separate pipeline project would connect the LNG plant to the extensive interstate and intrastate natural gas transmission pipeline network in South Texas.
Pangea LNG is an energy project and investment company involved in the development of LNG liquefaction and storage projects around the globe including an offshore floating LNG liquefaction project in the Eastern Mediterranean Sea.
John Godbold, project director for Pangea LNG, said an intensive project feasibility and preliminary design process is now underway on the South Texas project. The assessment is being conducted by CB&I, a leading international engineering, procurement and construction company.
The South Texas LNG Export project will require federal, state and local regulatory approval. The U.S. Federal Energy Regulatory Commission (FERC) is the lead agency in the permitting process. If this process moves forward on schedule the South Texas LNG terminal could be in operation by 2018.
Kathleen Eisbrenner, Pangea LNG’s chief executive officer, said, “We expect there to be several successful LNG export projects on the Texas Coast in the coming years because of the large new natural gas reserves in North America. Exporting LNG will help stabilize U.S. natural gas prices, sustain drilling and production jobs in South Texas, and stimulate investment in developing additional gas reserves.”
The South Texas project is the second LNG liquefaction project being developed by Pangea LNG companies. Levant LNG Marketing, a Pangea subsidiary, completed an extensive pre-FEED (preliminary front end engineering design), is finalizing commercial agreements and will start FEED engineering shortly on the Tamar Project which will export LNG from the Tamar and Dalit fields in the Eastern Mediterranean, 60 miles offshore from Israel.
That facility will be a permanently moored offshore floating natural gas liquefaction vessel with onboard LNG storage. The self-contained operation will be the first floating LNG export project in the Mediterranean basin. A final investment decision on the Tamar Project is expected by the second half of 2013.
USA: Pangea LNG Seeking Approvals for Corpus Christi Project LNG World News.
Pangea, Tamar Partners Share Israeli FLNG Costs
A Cost Sharing Agreement (CSA) has been executed between Levant LNG Marketing, a subsidiary of Pangea LNG B.V., and Tamar Partners. This major milestone demonstrates the continuing progress toward the export of LNG from the Tamar and Dalit fields in the Eastern Mediterranean, 60 miles offshore from Israel.
The Tamar Partnership will participate in the cost of developing the project front end engineering and design (FEED) for a permanently moored offshore floating natural gas liquefaction vessel with onboard storage. Pangea LNG and Tamar Partners anticipate launching FEED by end of 2012 and making a final investment decision by the second half of 2013.
The floating liquefaction (FLNG) midstream solution is being developed by Pangea LNG, an LNG development and investment company owned by Daewoo Shipbuilding and Marine Engineering (DSME), Next Decade International and D&H Solutions AS. Pangea LNG is a floating LNG liquefaction and storage project developer now working on projects around the globe that will connect gas suppliers to the world’s most important LNG demand markets.
The Tamar Partnership includes Noble Energy Mediterranean Ltd, Isramco Negev 2 Limited Partnership, Delek Drilling Limited Partnership, Avner Oil Exploration Limited Partnership, and DorGas Exploration Limited Partnership. These companies are the owners and producers involved in the discovery of significant natural gas resources in the Tamar and Dalit fields where development drilling is underway.
Gerhard Ludvigsen, a founding member of the Pangea LNG board of directors, said “the Tamar project embraces the entire value chain and balances the risk positions for the owners of hydrocarbons, the off takers and the midstream technology provider.
“The Pangea business model offers the opportunity for all stakeholders to take part in the value enhancement from gas production through the FLNG/midstream solution to the final off take of LNG. Pangea LNG opens the potential for national oil companies and owners of small to medium size gas reserves to monetize stranded gas and take part in the value creation in the entire value chain.”
Pangea LNG continues to work on off-take agreements for LNG production from the Tamar project. Pangea LNG has already executed several letters of intent with potential off takers and is in the final stage of negotiations for the long term sales and purchase agreement.
The Tamar framework agreement represents an important step in the development of what will be the first floating LNG liquefaction project in the Mediterranean basin. The Tamar and Dalit fields are located in the Levantine basin in Israeli waters.
“The Eastern Mediterranean gas fields provide a particularly good location for deploying an offshore floating LNG solution,” said Kathleen Eisbrenner, Pangea LNG’s chief executive officer. “The reserves are large, the climate is moderate and the location offers efficient access to significant LNG markets.”
O.K. Shin, Team leader of DSME Corporate Strategy Team, noted that the vessel-mounted liquefaction system being designed will take advantage of the efficiencies of the DSME shipyard construction environment and the best practices the company has developed during many years of LNG and process vessel construction.
Pangea LNG brings together a team that generated the innovations that are at the foundation of the floating LNG sector. DSME, the majority owner of Pangea, is one of the world’s leading shipbuilders and a contractor for major energy companies providing them with offshore platforms, drilling rigs and floating production units. The company builds special purpose vessels and specializes in LNG carriers. It constructed nine of the 11 floating LNG regasification vessels now in service.
Pangea, Tamar Partners Share Israeli FLNG Costs| Offshore Energy Today.
- Israel: Major Milestone in Tamar FLNG Project Development (worldmaritimenews.com)
- Pangea LNG Continues its Development of Mediterranean Floating LNG Export Project (prnewswire.com)
- Global Market for Floating Production Systems to Reach $91 Billion; More Than $28 Billion in Global FLNG Liquefaction Spending (sacbee.com)
Tamar Partners Dive into FLNG FEED (Israel)
Delek Group gas subsidiaries announced that the Pre-FEED stage of Tamar and Dalit floating liquefied natural gas project (FLNG), off the coast of Israel, has now been successfully completed.
Therefore, the Tamar partners decided to begin the second phase-front-end engineering design (FEED). LNG production is expected to be up to 3 MMTPA. In accordance to that, Daewoo Shipbuilding & Marine Engineering Co. Ltd. (DSME) signed an agreement with Levant LNG Marketing and Pangea LNG BV for the completion of the FEED stage.
DSME will carry out the costs of FEED and Tamar partners will contribute a total amount of $15 million (100%). The agreement has been set for two years, or until the date of the final investment decision of the FLNG project, whichever is earlier.
Tamar Partners Dive into FLNG FEED (Israel)| Offshore Energy Today.
- Pangea LNG Continues its Development of Mediterranean Floating LNG Export Project (prnewswire.com)
- Australia: KBR Secures Bonaparte FLNG Design Work (worldmaritimenews.com)
- Global Market for Floating Production Systems to Reach $91 Billion; More Than $28 Billion in Global FLNG Liquefaction Spending (sacbee.com)
- Israel Corp, Tamar Oil Partners Sign $4 Billion Gas Contract (jewishpress.com)
KBR to Design Bonaparte FLNG Vessel for GDF Suez
KBR has been selected by GDF SUEZ Bonaparte Pty. Ltd. (GDF SUEZ), operator of the Bonaparte LNG project, to execute floating liquefied natural gas (FLNG) production vessel design work for its project offshore Darwin, Australia.
This award is one of two contracts being let by GDF SUEZ as part of an initial concept definition design competition for the vessel. The award also pre-qualifies KBR as a contender for the EPC delivery phase of the project. The concept definition work is already underway in KBR’s London operations centre in Leatherhead, and is expected to last up to 12 months.
KBR has developed an extensive global FLNG engineering capability in recent years, and draws on its experienced resource pool with capabilities in FPSO and onshore LNG EPC delivery.
“KBR is delighted to be working with GDF SUEZ on this project. We look forward to working together in a new relationship which we hope will prove valuable for both companies as this project moves towards the EPC phase,” said Roy Oelking, Group President, Hydrocarbons.
This work follows KBR’s recent FLNG front-end projects in London, Houston and Perth. FLNG represents a new market for the industry and KBR’s engineering capability is already being utilized in several FLNG projects around the world.
KBR to Design Bonaparte FLNG Vessel for GDF Suez| Offshore Energy Today.
- Australia: KBR Secures Bonaparte FLNG Design Work (worldmaritimenews.com)
- Australia: Floating LNG Facility Receives Environmental Approval (worldmaritimenews.com)
- Need LNG? Yemen Is Looking for Buyers (gcaptain.com)
Worldwide Field Development News Oct 13 – Oct 19, 2012
This week the SubseaIQ team added 0 new projects and updated 13 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.
S. America – Brazil
Petrobras Confirms Oil at Carioca Norte
Oct 18, 2012 – Petrobras confirmed the presence of light oil in appraisal well 3-BRSA-1101-SPS, informally known as Carioca Norte, in block BM-S-9 offshore Brazil. Schahin’s Vitoria 10000 drillship drilled the well to a total depth of 18,293 feet. Results from the well are similar to three others drilled in the Carioca area. The partners in the block will now proceed with their appraisal plan which has been approved by Brazil’s ANP.
Project Details: Carioca
Australia
Shell Cuts Steel on Prelude FLNG
Oct 18, 2012 – Shell and its partners announced steel cutting for what will be the world’s first floating liquid natural gas facility. When complete, the Prelude FLNG vessel will be 1,600 feet long and 242 feet wide and will be the largest offshore floating facility ever built. Prelude will be deployed approximately 120 miles off the Australian coast in block WA-44-L serving the Prelude and Concerto fields. FLNG technology will eventually make it economical to develop gas fields that are currently considered too far from shore or to remote to produce. The facility is expected to receive first gas some time in 2017. At peak production the facility will deliver 3.6 million tons of LNG and 400,000 tons of LPG per year.
Project Details: Prelude
Oct 17, 2012 – Karoon Gas announced the Transocean Legend (mid-water semisub) has commenced testing of the Boreas-1 exploration well. Upon bringing in the well, a stabilized flow rate of 30.2 Mmscf/d was achieved through a 40/64 choke. The company notes that flow rates were limited by the surface equipment being used. Flow is being assessed from a 229-foot perforated reservoir section in the primary Plover formation at a depth of 16,089 feet. Testing should last five days with the goal of determining the overall deliverability of the primary reservoir which if a part of the Geater Poseidon structure. The next two wells in the drilling program, Zephyros-1 and Proteus-1, are designed to test the east and west flanks of Greater Poseidon Trend.
Project Details: Boreas
Africa – West
FMC Wins Pazflor Subsea Contract
Oct 19, 2012 – FMC Technologies has been awarded a $33 million equipment contract to supply three additional subsea well systems to Total for its Pazflor project offshore Angola. FMC supplied the initial deepwater production systems that have now been in operation for just over a year. Three of the four Pazflor reservoirs contain very heavy, viscous oil and relatively low reservoir pressures. Subsea separation and pumping is the key enabling technology making production of the heavy oil possible.
Project Details: Pazflor
Aker Books Deep Water Angola Work
Oct 17, 2012 – Eni, operator of block 15/06 offshore Angola, awarded a $50 million-contract to Aker Solutions to participate in the West Hub development project. Aker’s work scope will include engineering, procurement, fabrication and supply of 21 miles of static and dynamic steel tube umbilicals, as well as the associated equipment and peripherals. Delivery is booked for 1Q 2014. Once active, West Hub will draw from the Sangos, Ngoma and Cinguvu fields.
Project Details: West Hub
S. America – Other & Carib.
Rockhopper Premier Finalize Farm-Out
Oct 19, 2012 – Rockhopper announced the completion of the Premier Oil farm-out agreement. Rockhopper will receive a $231 million cash payment and Premier will obtain a 60% interest and operatorship of Rockhoppers licenses off the Falkland Islands. The cash payment will see Rockhopper’s share of Sea Lion fully funded through first oil which is expected 3Q 2017. Both companies are fully aligned on the project and expect to have a development concept by mid 2013. The partners are also discussing other Falklands area exploration prospects and a 2014 drilling campaign.
Project Details: Sea Lion
Europe – North Sea
Oct 19, 2012 – Statoil and its partners have approved the installation of a 4-slot standard template at Fram H North in the Norwegian North Sea. The template is to be tied-back via flexible pipeline to Fram West which supplies production to the Troll C platform. Installation of subsea equipment, pipelines and control cables is planned for summer 2013. The project will help maintain high flowline temperatures to avoid the use of scale wax inhibitors between Fram and Troll C. Estimates indicate Fram H contains recoverable resources of 10 Mmbeo.
Project Details: Troll Area
OMV Buys Stake in Edvard Grieg
Oct 17, 2012 – RWE Dea has elected to sell its 20% stake in the Edvard Grieg development offshore Norway to OMV for $325.2 million. A contingent payment of almost $46 million is available based on the achievement of certain operational milestones. This acquisition gives OMV access to 2P reserves in excess of 38 Mmboe and net production up to 19,000 boepd in 2016 once the field is brought on stream. The Plan of Development and Operations has already been approved by the Norwegian Parliament and all major contracts for drilling and platform construction have been awarded. OMV will share partnership with Lundin (operator 50%) and Wintershall (30%). The agreement is subject to approval by the Norwegian Ministry of Petroleum and Energy and by the Norwegian Ministry of Finance.
Project Details: Edvard Grieg (Luno, Ivar Aasen) Project
Oct 16, 2012 – A scheduled maintenance shutdown of the Nexen-operated Buzzard platform in the UK North Sea has lasted longer than predicted. Nexen’s original plan was to bring the platform back online mid-October but startup will have to wait another week. The delay has resulted in one cargo being dropped from the November Forties loading program. Forties is the main component of the global benchmark Brent which is used to price most of the world’s oil. Buzzard is the largest Forties producing field and issues there tend to provide strong support to Brent oil futures.
Project Details: Buzzard
Eni To Begin Drilling At Goliat
Oct 16, 2012 – Drilling at the Eni-operated Goliat field will begin near the end of October by the Scarabeo 8 (UDW semisub). Appraisal well 7122/7-6 is expected to take 50 days to drill. A 3 ?? year development drilling phase, consisting of 22 wells drilled from 8 subsea templates, will begin upon completion of the appraisal well. The templates will eventually be tied to a circular floating production facility with an integrated loading and storage system. Total development cost of Goliat is estimated at $5.2 billion. After start-up, production is expected to plateau at 100,000 barrels per day.
Project Details: Goliat
Drilling Underway at Spaniards East
Oct 15, 2012 – Drilling operations at the Premier Oil-operated Spaniards East prospect are underway in the UK North Sea. Awilco Drilling’s WilPhoenix (mid-water semisub) is expected to be on location for roughly 40 days. The Spaniards discovery was made in 1989 and flowed 2,660 barrels per day. Spaniards East will test the down-dip potential ?? mile to the east of the discovery well. Successful results from this well could cause the partners in the license to accelerate appraisal plans for the area.
Oct 15, 2012 – Det norske and its partners announced disappointing results at the Geite prospect offshore Norway. Well 7/11-13 encountered Triassic sandstones as planned but were proved to be void of hydrocarbons. The well will now be plugged and abandoned as a dry hole.
Project Details: Geite
Asia – SouthEast
Oct 18, 2012 – Premier Oil awarded a $15 million contract to EOC Limited in relation to the upgrade of FPSO Lewek EMAS. Under the contract, EOC will provide project management, engineering and procurement services for modifications that are necessary to accommodate a subsea tie-back that will link the vessel to the nearby Dua oil field in Block 12E offshore Vietnam. The Lewek EMAS is currently in operation in the Premier-operated Chim Sao field. Once the project is completed in late 2013, the FPSO will produce both fields. All modifications will be made in the field without taking the vessel offline.
Project Details: Chim Sao
Other
Tullow Farms Into Greenland Block
Oct 15, 2012 – Greenland’s Government approved an agreement between Maersk Oil and Tullow in which Tullow will take a non-operated 40% interest in Block 9 located off the nation’s western coast. Maersk Oil will maintain operatorship of the block with 47.5% interest and state oil company Nunaoil will hold the remaining 12.5%. Block 9 is also referred to as the Tooq license and covers an area of 7,333 square miles. Decision to drill an exploration well will be made once 3D seismic is acquired and processed, which will last through 2014.
Related articles
- Steel-Cutting Commences for Shell’s Offshore Monstrosity…the Prelude FLNG Facility (gcaptain.com)
- Falklands to start producing oil by 2017 (guardian.co.uk)
- Worldwide Field Development News Sep 29 – Oct 5, 2012 (mb50.wordpress.com)
- Aker Solutions Opens Malaysian Subsea Service Base (worldmaritimenews.com)
Worldwide Field Development News Aug 3 – Aug 9, 2012
This week the SubseaIQ team added 3 new projects and updated 21 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.
Mediterranean
Petroceltic Gears Up for Italy Drilling
Aug 9, 2012 – Petroceltic International is expecting to drill a well in Italy next year, reported Dow Jones Newswires. In 2010, the company planned to drill an appraisal well on the Elsa discovery in the Central Adriatic, but plans were shelved when Italy banned offshore drilling in reaction to the Macondo incident in the Gulf of Mexico. With the ban now lifted, the company is hopeful a well can be drilled in 2013. “When the Italy ban came in, we were within months of spudding an appraisal well on the Elsa field, which is an old oil discovery of somewhere between 30 million and 180 million barrels, made by ENI S.p.A. in 1992. We have a CPR [competent person’s report] that says the most likely oil-in-place is a couple of hundred million barrels,” the Chief Executive Brian O’Cathain said in a statement. Before it starts drilling, however, the company has to reapply for a permit, but Mr. O’Cathain believes that the current government is very favorably disposed towards restarting exploration and production activities.
Project Details: Elsa
Australia
Aug 7, 2012 – Eni Australia has confirmed that it will take over the ENSCO 109 (350′ ILC) jackup on August 15, and after an anticipated four-day tow, the operator expects the rig to arrive at the Heron South-1 location on or around August 19. The operator will then appraise the find, which is part of the work program Eni has agreed to complete in order to earn a 50 percent participating interest in the permit. Eni has 60 days after the well to elect to either drill a second Heron well or withdraw from participation in the Heron area.
Project Details: Heron
New Crux JV to Accelerate Exploration of Offshore Crux Field
Aug 3, 2012 – Nexus Energy has inked an agreement with Shell and Osaka Gas following board approvals Friday to form a new joint venture which will accelerate the exploration and development of the Crux gas and condensate field offshore Western Australia. The final agreement was formally signed and executed. The agreement sees Shell taking its place as the operator of the production license AC/L9 with an 80 percent interest. Nexus and Osaka Gas hold a 17 percent and 3 percent interest respectively. The agreement also provides Nexus with a 12 month put option to sell 2 percent of its equity interest in the JV to Shell for $78.6 million (AUD75 million). Nexus said in a statement that the JV will initially focus on converting the existing AC/L9 offshore production license into a retention lease. This will require a detailed work program, which include technical studies of a range of development options, including a standalone development concept, and exploration drilling of the Auriga prospect targeted for early 2014. The development options currently under consideration for the Crux field include a tie-in to Shell’s Prelude floating liquefied natural gas (FLNG) vessel or a standalone FLNG project.
Project Details: Prelude
N. America – US GOM
Apache Concludes Drilling on Parmer Prospect
Aug 9, 2012 – Apache has completed drilling operations on the Parmer prospect in Green Canyon Block 823 in the Gulf of Mexico. The well has been logged, and pressure readings and fluid samples have been taken in several Miocene objective sands. Thus far, data indicates approximately 240 feet (73 meters) of net condensate-rich gas pay in two gas sands are full to base, as well as 40 feet (12 meters) of net oil pay in two sands. Both have encountered oil on water. The partners plan to analyze the data and develop a forward plan.
Project Details: Parmer
W&T Completes Development Wells at Matterhorn
Aug 8, 2012 – W&T Offshore reported that the A-4 ST at the Matterhorn field began producing approximately 3,190 boepd net in mid-June and the A-13 at Mahogany began producing approximately 1,640 boepd net in late May. During the second quarter, the company commenced drilling the A-5 ST well at Mahogany, and is now currently completing the well. W&T expects to bring the A-5 ST online later this week with projected initial production rates of approximately 925 boepd net to the company. Following the A-5 ST well at Mahogany, the company expects to drill the A-9 ST development well to further develop the P sand south of the A-5 ST during the third quarter. Following the A-9 ST well, W&T anticipates moving to another development drill well for a possible spud date in the fourth quarter followed by completion in early 2013.
Project Details: Matterhorn
McDermott Awarded Spar Hull Installation Contract for Tubular Bells
Aug 6, 2012 – McDermott International announced that one of its subsidiaries received a contract by Williams Partners for transportation and installation services for a spar hull in the Gulf of Mexico. The company will transport and install the Gulfstar FPS GS-1 spar hull and moorings. The spar platform will be moored on the Tubular Bells development, situated about 150 miles (241 kilometers) offshore, on Mississippi Canyon Block 683 and 726 in a water depth of 4,200 feet (1,280 meters). McDermott’s DB50 vessel will install the moorings before transporting the classic-design spar hull to the installation site where it will be upended and ballasted before installing a temporary work deck. The offshore campaign is expected to begin in the third quarter of 2013.
Project Details: Tubular Bells
Europe – East
Statoil Divests Shtokman Interest
Aug 9, 2012 – Statoil reported that it has divested its 24 percent stake in the consortium developing the Shtokman gas field after the agreement lapsed, but the company remains interested in the project. The initial agreement, in which Russia’s OAO Gazprom held a controlling 51 percent stake and France’s Total SA 25 percent in the consortium, expired at the end of June with the three companies failing to agree on technical and financial plans to develop the massive gas field.
Project Details: Shtokman
Africa – West
Harvest Natural Lines Up Rig for Tortue Prospect Offshore Gabon
Aug 9, 2012 – Panoro Energy announced that operator Harvest Natural Resources has secured the use of a semisub to drill the Tortue prospect in the Dussafu Marin Permit offshore Gabon. The drilling unit, the Scarabeo 3 (mid-water semisub), is expected to commence drilling operations in 4Q 2012. The Tortue Marin well will be located about 31 miles (50 kilometers) offshore Gabon and 9 miles (15 kilometers) southeast of the 2011 Ruche discovery in 380 feet (116 meters) water depth. The well targets pre-salt Gamba and mid-Dentale reservoirs and a secondary post-salt Madiela reservoir. When combining these reservoirs the Tortue prospect has, according to the operator, consolidated mean prospective resources of 28 MMbbls with 56 percent geological chance of success.
Project Details: Tortue
Murphy to Drill Azurite Sidetrack Well
Aug 8, 2012 – PA Resources reported that following a full evaluation of remedial options to replace or reinstate the earlier communicated failed production well at the Azurite field in the Republic of Congo, the joint venture has agreed to drill a sidetrack. Preparatory activities have commenced and drilling operations are expected to start in early 4Q 2012 and take several months to complete. The Azurite field commenced production in August 2009.
Project Details: Azurite
S. America – Other & Carib.
CX-15 Platform En Route to Corvina Field
Aug 7, 2012 – BPZ Energy announced that the world’s first buoyant tower drilling and production platform is en route to the Corvina field for installation offshore Peru. The CX-15 platform was safely completed and successfully delivered to BPZ Energy at Wison Offshore & Marine’s China-fabrication facility in 11 months from contract signature. Wison’s scope included the engineering, procurement and construction of the facility’s 2,500 ton buoyant tower hull and 1,500 ton topsides facility. The buoyant tower hull for the facility was designed and engineered through a joint venture between Wison affiliate, Horton Wison Deepwater, and GMC Limited and consists of four, ring-stiffened connected cylindrical tubes with one central suction pile. Each cell measures 26 feet (8 meters) in diameter and 197 feet (60 meters) long, with a total hull length, including suction pile, of 230 feet (70 meters). When installed, the buoyant tower will support the three-level topsides facility designed by Audubon Engineering and GMC Limited and equipped to produce 12,200 barrels per day of oil, 12.8 million standard cubic feet per day of gas and inject 3,500 barrels per day of water. Additionally, the facility will be capable of supporting a drilling rig with 24 well slots. The CX-15 drilling program, which is the second platform installation at the Corvina field, will target 23 million barrels of proved undeveloped reserves (PUD).
Project Details: Corvina
S. America – Brazil
Petrobras Discovers Oil at Pecem Prospect
Aug 8, 2012 – Petrobras has verified the presence of oil in the Ceara Basin during drilling operations of the 1-BRSA-1080-CES (1-CES-158) well. The well, commonly known as Pecem, is located in a water depth of 6,985 feet (2,129 meters). The well’s current depth is 14,469 feet (4,410 meters) and drilling will continue to a total depth of 18,045 feet (5,500 meters). The consortium will continue the operations until the estimated depth is met.
SBM Offshore Secures Financing to Build Cidade de Ilhabela FPSO
Aug 8, 2012 – SBM Offshore and its JV partners QGOG Constellation and Mitsubishi Corporation have secured a US $1.05 billion to finance the construction of the Cidade de Ilhabela FPSO. The loan will be repaid over a 10-year period starting at first oil, which is expected in September 2014 and benefit from a competitive pricing package arranged on a club deal basis with reputable international commercial banks. The vessel will be moored on the Sapinhoa field in 7,024 feet (2,141 meters) of water.
Project Details: Sapinhoa (Guara)
Asia – SouthEast
Lundin Spuds Berangan Well in Malaysian Campaign
Aug 3, 2012 – Lundin Petroleum has commenced the second well in its 2012 Malaysian drilling campaign with the spud of Berangan-1 exploration well in SB 303 Block, offshore Malaysia. The well will target hydrocarbons in mid-Miocene aged sands in a faulted anticline in an undrilled sub-basin 6 miles (10 kilometers) to the southeast of the Tarap gas discovery made by Lundin Petroleum in 2011. The Offshore Courageous (350′ ILC) jackup is drilling a vertical well to a depth of 5,577 feet (1700 meters) in approximately 230 feet (70 meters) water depth.
Project Details: Berangan
Europe – North Sea
AMEC to Perform Detailed Design Contract for Cygnus Project
Aug 7, 2012 – AMEC has received a detailed design contract from GDF Suez for the Cygnus gas field development in the UK sector of the North Sea. The detailed design contract, following the FEED work, starts immediately and is scheduled for completion in 2014. The detailed development concept for the Cygnus field consists of two drilling centers, four platforms and initially 10 development wells; the planned export route is through the ETS (Esmond Transportation System) pipeline system to the Bacton gas terminal in North Norfolk. First gas is expected in late 2015.
Project Details: Cygnus
GDF Suez Sanctions Cygnus Development
Aug 7, 2012 – GDF Suez has officially sanctioned the Cygnus project to develop the sixth largest gas field in the UK sector of the North Sea. The consortium has signed initial contracts, which will kick start the project, and plan to award major contracts soon. Production is expected to start in late 2015. The field is expected to meet demand for nearly one and a half million homes at peak production, accounting for around 5% of the UK’s gas production. GDF stated that the partnership welcomed the recent field allowance for new large shallow water gas fields by the UK Government, which proved the certainty and confidence to proceed with the development.
Project Details: Cygnus
Providence Eyes Dromberg Prospect
Aug 7, 2012 – Providence Resources has issued a technical report on its Dromberg prospect, offshore Ireland, indicating its potential as a hydrocarbon target. Drombeg, which was awarded to Providence and its partner Sosina Exploration as Licensing Option 11/9 in the 2011 Irish Atlantic Margin Licensing Round, is located approximately 140 miles (225 kilometers) off West Cork in 8,200 feet (2,499 meters) of water. The prospect is targeting a Lower Cretaceous zone, demonstrating a significant seismic amplitude anomaly and low seismic impedance as well as a market AVO (amplitude versus offset) response. Providence added that it has also identified an underlying second seismic anomaly that has been modeled to be consistent with hydrocarbon-bearing sandstone.
Project Details: Dromberg
Aug 7, 2012 – Total has commenced drilling at the Garantiana prospect, exploratory well 34/6-2S, in the Norwegian sector of the North Sea. The well is being drilled by the Borgland Dolphin (mid-water semisub), and is targeting stacked Jurassic/Triassic reservoirs. The water depth of the site is 1,247 feet (380 meters).
Project Details: Garantiana
Total: Elgin Cement Plug In Place by Mid-September
Aug 6, 2012 – Total reported that it expects to install a cemet plug, designed to seal a well, at its Elgin North Sea platform. Since the leak was stopped mid-May, Total and its contractors “have now restarted the essential safety and support systems on board the Elgin complex and the adjacent Rowan Viking (430′ ILC) drilling rig,” the company said in a statement.
Project Details: Elgin/Franklin
Related articles
- Hercules Offshore Buys More Shares in Discovery Offshore S.A. (mb50.wordpress.com)
- Offshore Drilling: Sneaky Sneaky Administration (mb50.wordpress.com)
- Recap: Worldwide Field Development News Jul 27 – Aug 2, 2012 (mb50.wordpress.com)
Recap: Worldwide Field Development News (Jun 29 – Jul 5, 2012)
This week the SubseaIQ team added 1 new projects and updated 11 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.
Australia
ShawCor will Provide Services for Ichthys LNG Subsea Equipment
Jun 29, 2012 – ShawCor announced that its pipecoating division, Bredero Shaw, has received a contract to provide pipeline coatings and related products and services for the flowlines and tie-in spools for the Ichthys LNG project. The contract involves coating approximately 148 km of 6-inch to 18-inch diameter pipe that will be protected with three-layer polypropylene anticorrosion coating and Thermotite multi-layer polypropylene insulation. Work will commence during the second quarter of 2013. The company will execute the work at Bredero Shaw’s facilities in Kabil, Indonesia and Kuantan, Malaysia.
Project Details: Ichthys
Technip Wins Prelude Subsea Installation Contract From Shell
Jun 29, 2012 – Shell awarded Technip a subsea installation contract for the Prelude FLNG facility, which is moored in a water depth of 787 feet (240 meters), about 124 miles (200 kilometers) off the northwest coast of Australia. The contract covers the project management, fabrication, transport and installation by reeling of 12 inch flowlines and the fabrication of pipeline end terminals, flowline appurtenances and rigid spools. It also includes the transportation and installation of the subsea equipment including manifolds, umbilical termination assemblies, rigid spooks and flying leads. Shell said it expects the Prelude FLNG project to be ready in 2017. Once operational, the Prelude FLNG facility will produce at least 5.3 million tones per annum (mtpa) of liquids.
Project Details: Prelude
Europe – North Sea
Statoil Awards Subsea Project to FMC
Jul 5, 2012 – FMC has been awarded a contract for subsea production systems (SPS)for the Gullfaks South field, with options to cover Statoil’s subsea tie-back demand in the fast-track portfolio for 2014 and 2015. Estimated contract value is close to $199 million (NOK 1.2 billion), in addition to possible extensions worth $663 million (NOK 4 billion. Equipment to be supplied includes wellheads, x-mas trees, template structures, manifold and control systems.
Project Details: Greater Gullfaks Area
King Lear Not a Tragedy for Statoil
Jul 2, 2012 – Drilling results confirm Statoil’s earlier expectations that its King Lear prospect would be a high-impact well. Exploration well 2/4-21 drilled by the Maersk Gallant (350′ ILC) in production licences 146 and 333, has proven a 48-meter gas/condensate column in the main bore 2/4-21 and an additional 70-meter gas/condensate column in the side-track 2/4-21A. Statoil estimates the total volumes in King Lear to be between 70 and 200 million barrels of recoverable oil equivalent.
Project Details: King Lear
Faroe Drills Duster in Clapton Prospect
Jun 29, 2012 – Faroe Petroleum will plug and abandon the Clapton exploratory well 2/8-18S on Production License 440S in the Norwegian sector of the North Sea. The well found hydrocarbons in chalks of the Shetland Group and also encountered reservoir rocks, but the reservoir properties were poorer than expected. Reaching a vertical depth of 8,593 feet (2,619 meters) by the Maersk Guardian (350??? ILC) jackup, the well is a dry hole.
Project Details: Clapton
N. America – US GOM
Anadarko Enters Capital Carry Deal for Lucius
Jul 2, 2012 – Anadarko Petroleum has signed a definitive agreement with an undisclosed party to enter into a joint-venture capital carry arrangement for Anadarko’s ownership in the Gulf of Mexico Lucius development project. Under the terms of the agreement, Anadarko will be carried for $556 million, which is estimated to represent 100 percent of its expected capital obligation through the anticipated date of first production at Lucius. In exchange, Anadarko will convey a 7.2-percent working interest in the Lucius development and will continue as operator with a 27.8-percent working interest.
Project Details: Lucius
S. America – Other & Carib.
Gas Flaring Permit Extended for Albacora
Jul 3, 2012 – BPZ Energy has announced that an extension to their gas flaring permit has been granted by the Peruvian Ministry of Energy and Mines. The permit will cover flaring operations at the Company’s Albacora field through December 28, 2012. Gas is flared off when sufficient amounts of gas aren’t being reinjected or sold. At this time, the reinjection equipment at Albacore is sitting idle while the environmental permit to allow for reinjection is finalized.
Project Details: Albacora
Asia – Caspian
Total Sumits Notice of Commerciality for Absheron Discovery
Jul 2, 2012 – Total, on behalf of the Socar/Total/GDF Suez partnership, has submitted a notice of commerciality to the Government of Azerbaijan for the Absheron discovery. This step is an important milestone in the frame work of the Agreement on Exploration, Development and Production Sharing for the Absheron offshore block in the Azerbaijan sector of the Caspian Sea signed in 2009.
Project Details: Absheron
Africa – West
Saipem Signs E&C Contract for Mafumeria Field
Jun 29, 2012 – Saipem has signed a new E&C offshore contract in West Africa for the development of the southern part of the Mafumeira field within Block 0. The contract has been awarded by CABGOC (Cabinda Gulf Oil Company Ltd), wholly owned by Chevron. The Mafumeira Sul EPCI 3 scope of work is for the engineering, procurement and pre-fabrication activities for subsequent offshore modifications and tie-in activities on the existing Mafumeira Norte platform and the future Mafumeira Sul production platforms. Mafumeira Sul EPCI 4 comprises the engineering, procurement, fabrication and installation of an onshore pipeline portion connecting the field to the oil storage and export facilities in the Malongo Terminal. The marine activities will be carried out in different time frames between the fourth quarter of 2013 and the second quarter of 2015.
Project Details: Mafumeira
Allied Energy Preps Drilling Program for Oyo Field
Jun 29, 2012 – Allied Energy reported that it plans to drill a development well on the Oyo field in 4Q 2012. The new well, Oyo No. 7, is being designed to test the prospective resource potential of the deeper Miocene reservoir in the field, but also to increase production in the Pliocene reservoir. With these dual objectives, the No. 7 well is expected to both significantly increase oil production from the currently producing reservoir and de-risk much of the unrisked resource potential in the field.
Project Details: Oyo
Mediterranean
Adira Granted Extension for Samuel License
Jul 3, 2012 – Adira Energy Ltd. announced today that Israel’s Ministry of Energy and Water Resources has granted an extension of the dates for the execution of a drilling contract and the spudding of the first well on the Samuel offshore license. The contract execution date has been extended from July 1 to October 31, 2012 with a requirement that the first well be spud by April 30, 2013. Adira has indicated that the environmental study for Samuel will be submitted by the July 10 deadline.
Jul 2, 2012 – ATP Oil & Gas has successfully drilled its Shimshon exploration well in the Levant Basin of offshore Israel encountering more than 62 feet (19 meters) of natural gas pay in the Bet Guvrin sands. The Shimshon well is in a water depth of 3,622 feet and was drilled to a subsea depth of 14,445 feet by the Ensco 5006 semisub.
Project Details: Shimshon
Related articles
- Recap: Worldwide Field Development News (Jun 22 – Jun 28, 2012) (mb50.wordpress.com)
- UAE: Drydocks World Initiates Prelude FLNG Project with Turret Steel Cutting (worldmaritimenews.com)
- Statoil Charters Light Well Intervention Vessels to Increase Recovery (mb50.wordpress.com)
- Enhanced recovery through subsea compression at Gullfaks (mb50.wordpress.com)
Shell Plans USD 20 bln Investment in Indonesia’s Masela Block
International oil major Shell will invest approximately $20 billion in Masela offshore block, located the Arafura Sea, Indonesia.
According to Reuters, Indonesia’s Chief Economic Minister Hatta Rajasa said yesterday that Shell would gradually invest $20 billion between 2013 and 2019.
In December, 2011, Shell acquired a 30% participating interest in the Masela Block (Abadi project). Inpex is the operator of the project with 60% interest.
The Abadi gas field will be developed in phases and that one FLNG plant will be constructed and utilized for the annual LNG production of 2.5 million ton for the first phase development.
First production from the field is expected to begin in 2018.
Related articles
- INPEX Orders USD 2 bln FPSO from DSME (South Korea) (mb50.wordpress.com)
- Niko’s Drilling Program in Indonesia Kicks Off (mb50.wordpress.com)
- Lloyd’s Register – Groundbreaking Rules for FLNG (Malaysia) (worldmaritimenews.com)
Continents of the World
Mb50's "Liquid Mud" Rant 