This week the SubseaIQ team added 5 new projects and updated 28 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
Jun 14, 2013 – Total E&P has secured the services of EPC Offshore to support the development of the Edradour gas and condensate discovery in block 206/4 on the UK continental shelf. EPC will provide project management services for the development as part of a 6-month contract worth more than $400,000. Edradour was discovered in 2010 and will be tiebacked to the West of Shetland Laggan-Tormore development project. Total operates Edradour with 75% interest while it partner, DONG, maintains the remaining 25% interest. The partners expect the discovery to begin producing in 2016.
Project Details: Laggan-Tormore
Jun 13, 2013 – AMEC has been contracted by Xcite Energy to provide engineering services to support development of the Bentley field in the UK North Sea. Both companies have also entered into a Memorandum of Understanding (MOU) to develop a wider service agreement for the field relating to development scope and ongoing field operations. The MOU includes project and program management and controls, engineering and design through the FEED stage and beyond, fabrication management, sub-contractor management, hook-up and commissioning, operations and maintenance planning and duty holder services.
Project Details: Bentley
Jun 13, 2013 – Ithaca Energy signed a $200 million managed services contract with Wood Group PSN (WGPSN). The life-of-field contract is a continuation of a contract that WGPSN was awarded in 2008. Terms dictate that WGPSN will operate and manage the Beatrice Alpha and Bravo platforms and the Nigg onshore terminal until the end of their operational life. Production started at Beatrice in 1981 with an estimated 30-year lifespan. Several asset life extension programs have been carried out that have greatly increased the life of the field.
Project Details: Greater Beatrice Area
Jun 13, 2013 – Statoil announced the results of two appraisal wells that were drilled by the Ocean Vanguard (mid-water semisub) in the western margin of the Johan Sverdrup field. Well 16/2-17S reached a depth of 6,617 feet and penetrated 270-feet of gross oil pay in Jurassic sandstones. A production test was conducted and yielded almost 6,000 bopd with exceptional flow properties in the upper part of the reservoir. Well 16/2-17B was drilled as a sidetrack to the 17S well. Its target was the Cliffhanger South prospect but no hydrocarbons were encountered and the well has been classified as a dry hole.
Project Details: Johan Sverdrup
Jun 11, 2013 – Bridge Energy, minority partner in Norwegian license PL511, indicated that reservoir quality sandstones have been encountered by the Transocean Arctic (mid-water semisub) while drilling exploration well 6406/6-3 on the Mjosa prospect. Initial results indicate the presence of a sub-commercial volume of gas within the reservoir. Data is still being acquired and further interpretation will be needed to determine what potential exists within the prospect. The current plan is to plug and abandon the well upon reaching total depth.
Project Details: Mjosa
Africa – Other
Jun 11, 2013 – India’s ONGC Videsh (OVL) and Oil India Ltd (OIL) confirmed that they are in advanced negotiations to buy Videocon Industries’ 10% stake in Area 1 offshore Mozambique for $2.47 billion. Several high-profile discoveries have occurred in the area since 2009 and the potential exists for Area 1 to be one of the world’s largest LNG producing hubs by 2018. Recoverable gas reserves for Area 1 are estimated between 35 and 65 Trillion cubic feet (Tcf). If approved, the acquisition will be executed through a 60/40 joint venture between OVL and OIL.
Project Details: Atum
Jun 13, 2013 – ConocoPhillips and Karoon Gas Australia, partners in WA-398-P, have been forced to sidetrack an exploration well being drilled on the Proteus prospect being drilled by the Transocean Legend (mid-water semisub) off Western Australia. Proteus-1ST1 was successfully kicked-off and drilled to 14,740 feet where a well control event forced the partners to shut-in the well. Drilling will continue once the well control issues are remedied.
Project Details: Proteus
N. America – US GOM
Jun 14, 2013 – Noble Energy announced results from the second appraisal well drilled on the Gunflint discovery in Mississippi Canyon block 948 in the US Gulf of Mexico. The well was drilled by the Ensco 8501 (DW semisub) to a depth of 32,800 feet. A net pay of 109 feet was encountered within the primary reservoir targets. Logging results confirmed an estimated gross resource range of 65 to 90 MMboe in the main target. An adjacent three-way structure is a candidate for future exploration. Noble and its partners are likely to develop the discovery as a subsea tieback with project sanction expected later 2013.
Project Details: Gunflint (Freedom)
Jun 13, 2013 – 2H Offshore, a subsidiary of Acteon, was awarded a contract by ExxonMobil regarding the first development phase of the Julia project in the Walker Ridge area of the US Gulf of Mexico. Julia will be a subsea development tied back to the Jack/St. Malo floating production unit. Under the contract, 2H will conduct a detailed design study of two 10-inch steel catenary production risers. ExxonMobil and Statoil made the decision to proceed with the chosen development concept in May 2013. Production start-up is planned for 2016.
Project Details: Jack/St. Malo
Jun 11, 2013 – Anadarko continues to shop for its Heidelberg development in the US Gulf of Mexico with a recent contract award to Subsea 7. Work scope includes the engineering, fabrication and installation of risers, pipelines and flowlines. The installation work will be performed in over 5,200 feet of water. Project management and engineering will begin immediately with offshore activities to follow near the end of 2014.
Project Details: Heidelberg
Asia – SouthEast
Jun 14, 2013 – Nido Petroleum, operator of Service Contract 58, secured a 6-month extension to its Election to Drill Date from its joint venture partner PNOC Exploration. The extension gives Nido until January 11, 2014 to make the decision to drill one of the prospects identified in the area. Located adjacent to the Malampaya gas field, SC58 covers almost 3,335,922 acres. Water depth exceeds 3,280 feet over most of the block. Promising prospects located in the license include Balyena, Butanding and Dorado.
Project Details: Balyena
Jun 14, 2013 – The Stena Clyde (mid-water semisub) has spud the second well in its current drilling program in the Gulf of Papua off Papua New Guinea. Hagana-1 is being drilled in PPL 244 in almost 350 feet of water. The rig is expected to be on location for roughly 40 days as it tests the Pleistocene sandstone structure. Oil Search (40%) operates the license with support from its partners Total (40%) and Nippon Oil (20%). Hagana has been estimated to contain up to 1.3 Tcf of mean, unrisked, prospective gas resources.
Project Details: Hagana
Jun 13, 2013 – Otto Energy received a 6-month extension from the Philippines Department of Energy for Exploration Sub-Phase 3 of Service Contract (SC) 69. Sub-Phase 3, which began February 7, 2011, now has an effective expiration date of November 7, 2013. Three potential drilling targets, Lampos, Lampos South and Managau East, were identified with 3D seismic that was acquired in 2011. Otto will use the extension to complete outstanding technical work, begin well planning and start a farm-down process.
Project Details: Lampos
The operators and licence holders for the Johan Sverdrup, Dagny, Draupne and Luno fields in the North Sea will study setting up a hub for the supply of electrical power from land. The study will form the basis for a decision on electrification.
The study, which has been initiated by the Ministry of Petroleum and Energy, is headed by Statoil and involves the operators Lundin and Det norske oljeselskap, as well as the other licence holders. The work will comprise technical studies, such as concept planning, as well as commercial solutions for the electrification of the fields on the Utsira High. The intention is to create a framework for potentially setting up a company or partnership to own and operate the facilities that will feed the receiving platforms with power.
It is primarily the gigantic Johan Sverdrup discovery – together with Luno, Draupne and Dagny, including Eirin – that makes such a shared power solution possible. Preparations will be made for the possible subsequent tie-in of other installations on the Norwegian continental shelf.
The study will take in an offshore distribution platform located near Johan Sverdrup, with DC cables from land to the distribution platform and AC cables on to the receiving platforms. An analysis of the power situation at the potential land-based connection points will also form part of the study.
There will be the additional requirement for converters and transformers on the distribution platform and on land. AC cables will also be necessary and the existing switching station will need to be extended for connection to the grid network.
The progress plan for study will, to a large extent, be governed by the plans of those who will be in receipt of the power.
A concept will be selected, and the investment decision made,at the earliest in the fourth quarter of this year.
The decision to electrify will be taken by the licence holders/owners, on the basis of profitability, the official specifications and the conditions stipulated . Utsira Height can be well suited for electrification due to its considerable power needs, as well as the favourable distances and water depths involved.
- Statoil Introduces New “Cat J” Jackup Rig for Norwegian Continental Shelf + [VIDEO] (mb50.wordpress.com)
- Norway: STX OSV Delivers Platform Supply Vessel to Solstad (mb50.wordpress.com)
- Norway: EMAS AMC Wins Fram SURF Deal from Statoil (mb50.wordpress.com)
- Norway: DOF Subsea to Provide Offshore Survey & Construction Services to Statoil (mb50.wordpress.com)
- Norway: Statoil Orders Subsea Structures for Asgard (mb50.wordpress.com)
- Aker Solutions Plans to Strengthen its Footprint in Northern Norway (mb50.wordpress.com)
- Norway: Kleven Maritime Receives Contract for Rem Fortune Renovation (mb50.wordpress.com)
OSLO (Dow Jones)– Norwegian oil and gas giant Statoil ASA (STO) Friday said it is introducing a new drilling rig concept for mature fields on the Norwegian continental shelf, in a move to increase the recovery rate from its wells and reduce costs.
The new rigs will cut production costs by around 20%, cut yard delivery costs by 10%, and increase oil recovery, the company said, essential at a time when production from its existing fields is falling by about 5% a year.
The partly state-owned company said it is preparing an invitation to tender for the new jack-up rigs, known as category J, able to operate at water depths from 70-150 meters and drill wells down to 10,000 meters. Statoil will ask for offers for a minimum of two rigs, at an estimated cost of $450 million-$500 million each.
The company said the new rig type could be used on fields such as Gullfaks on the Norwegian continental shelf and Mariner on the U.K. shelf, and that the future Johan Sverdrup field could also be a candidate.
“Statoil has huge ambitions on the Norwegian shelf. We want to maintain current production until 2020,” said Statoil’s Chief Procurement Officer Jon Arnt Jacobsen, adding that the new rigs will help rejuvenate the current rig fleet.
“Today, more than 50 of the rigs on the Norwegian continental shelf are more than 20 years old, which means more maintenance and higher costs,” Jacobsen said.
The most important measure to extract more oil on the shelf is to drill more wells, the company said. The Cat J concept “will have real impact on improving oil recovery,” said Statoil’s Senior Vice President for Drilling and Wells, Oystein Arvid Haaland.
Statoil said the rigs should be owned by the licenses for each field, since the rigs are part of the long term development of the field. The company has discussed this with partners such as the state-owned petroleum company Petoro, said Jacobsen, adding that Petoro “supports this approach fully.”
Statoil is currently developing several large fields, including Gudrun, Dagny, Valemon, Luva, Skrugard and Avaldsnes /Aldous. It also plans increased oil recovery projects on several fields including Snorre, Statfjord, Troll, Oseberg, Gullfaks and Asgard, and fast-track developments on fields like Stjerne, Visund Sor and Hyme, among others.
Statoil is the world’s largest offshore operator and has 44 developed fields on the Norwegian continental shelf that produced about 1.4 million barrels a day in 2010.
The invitation to tender will be issued in July and the contracts will be awarded in the second half of 2012. The rigs will be delivered in the second half 2015.
At 1051 GMT, Statoil traded 0.6% higher at NOK161.40.
-By Kjetil Malkenes Hovland, Dow Jones Newswires
Source & [ VIDEO ]
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- Songa Wins $2.66 Billion Offshore Drilling Contract with Statoil (gcaptain.com)
- Statoil, ExxonMobil Strike Gas Off Tanzania (mb50.wordpress.com)
- Norway Makes Its Second Huge Oil Discovery Of The Year (businessinsider.com)