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Recap: Worldwide Field Development News (Mar 30 – Apr 5, 2012)

Huisman-to-Build-500mt-Yard-Crane-and-150mt-Flexlay-System-for-Technip-France

This week the SubseaIQ team added 8 new projects and updated 45 projects. You can see all the updates made over any time period via the Project Update History search. The latest offshore field development news and activities are listed below for your convenience.

Mediterranean
Cooper Energy Preps Hammamet Appraisal
Apr 4, 2012 – Cooper Energy is preparing to drill the Hammamet West-3 well in the Bargou permit offshore Tunisia. The company has awarded a contract for well management services to AGR Petroleum, which includes planning and executing drilling operations and post well activity. Drilling of the Hammamet West-3 well is targeted to commence in 4Q 2012. Hammamet was discovered in 1967 and appraised in 1990.
Project Details: Hammamet West
Adira Energy to Explore Yitzhak, Gabriella Licenses
Apr 3, 2012 – Adira Energy is moving forward with plans to spud two exploration wells in late 2012 hoping to investigate Jurassic-aged fractured carbonates in the Syrian Arc structural trend, off the coast of Israel. The company said it is in the process of securing a rig to drill back-to-back wells in the Yitzhak and Gabriella licenses beginning in the fourth quarter of 2012. The Adira partnership will initially drill its first well within the Gabriella license to appraise a reservoir discovered by Isramco’s Yam-Yafo wildcat nearly two decades ago. The well tapped the Zohar formation, and flow rates at the time were about 800 bopd. The Gabriella prospect will be drilled in 394 feet (120 meters) of water to a target depth of about 16,076 feet (4,900 meters).
S. America – Brazil
Saipem Scores Gas Pipeline Gig for Lula Development
Mar 30, 2012 – Petrobras awarded Saipem a new E&C offshore contract in Brazil for the Lula development. The EPCI contract is for the gas export trunkline Rota Cabiunas, situated in the Santos Basin pre-salt region, approximately 186 miles (300 kilometers) off the coast of the State of Sao Paulo. The development comprises the engineering and procurement of subsea equipment, and the installation of a 236-mile-long (380-kilometer-long) pipeline with a 24-inch diameter, in a maximum water depth of 7,218 feet (2,200 meters). The pipeline will connect the central gathering manifold in the Lula field, in the Santos Basin, to the onshore Processing Plant of Cabiunas, located in the Macae district, in the State of Rio de Janeiro. Work is slated for completion in 2Q2014.
Project Details: Lula (Tupi)
S. America – Other & Carib.
Desire Acquires 3D Data over Sea Lion Complex
Apr 3, 2012 – Desire Petroleum reported that a joint 3D seismic program with Rockhopper Exploration, using the Polarcus Nadia, was completed in May 2011. Overall, an additional 349,901 acres (1,416 square kilometers) of data was acquired within Desire’s licenses and adjacent open areas. The new seismic data is being integrated with reprocessing of the 2004 3D survey to provide a contiguous, merged volume over PL003, PL004 and most of PL005. The final processed 3D merge volume was delivered in early February 2012 and Desire says this will be the basis for a re-assessment of their prospect inventory. Results are expected later this year.
Project Details: Sea Lion
Shell to Appraise Zaedyus
Apr 3, 2012 – Northpet announced that the Zaedyus consortium plans to commence drilling in mid-2012 on the Guyane permit, to follow-up on the Zaedyus oil discovery in late 2011. Appraisal drilling is planned to delineate the discovery. Shell, who took over as operator of the license, has contracted the Stena DrillMax ICE (UDW drillship) to commence operations mid-year subject to government consent.
Project Details: Zaedyus
Europe – North Sea
Valiant Secures Rig Slot for Handcross Well
Apr 5, 2012 – Valiant Petroleum has entered into a contract to secure a firm rig slot on the Stena Carron (UDW drillship) to drill the Handcross prospect located in UK Block 204/18b. Drilling is expected to commence within the first quarter of 2013. The Handcross prospect is a large stratigraphic trap, similar to the nearby Foinaven and Schiehallion fields, which benefits from a number of geophysical anomalies interpreted to reflect the presence of hydrocarbons in Paleocene sands.
Project Details: Handcross
Eni Brings Marulk Online
Apr 5, 2012 – Eni has commenced production from the Marulk field in the Norwegian sector of the North Sea. Marulk is Eni’s first operating field in Norway and is part of the PL 122 license held by Eni (20 percent) with Statoil (50 percent) and Dong (30 percent). Marulk is a gas and condensate field with estimated reserves of 74.7 million barrels of oil equivalent and produces 20,000 boepd.
Project Details: The Greater Norne Area
Caledonia Redevelopment Project Makes Headway
Apr 4, 2012 – The Caledonia field redevelopment project is progressing and sanctioning is expected in late 2012. First oil is targeted for 2012 with gas slated for 2014.
East, West Rochelle to Come Online by Year-End
Apr 4, 2012 – A processing tariff was agreed with the Scott owners and initial Rochelle modifications were made to the Scott topside facility during 2011. The development program has made good progress towards first gas from Rochelle in November 2012. The subsea fabrication work is on schedule and drilling rigs have been contracted to drill this summer.
Project Details: Rochelle
BG Dives Deep into Bream Development
Apr 3, 2012 – BG Group announced plans to conduct development drilling at its Bream oil field in the Norwegian sector of the North Sea. Development plans call for seven wells. Drilling will commence in 4Q13 and last for about 13 months. The field was discovered in 1972.
Project Details: Bream
Cairn Energy Buys Agora Oil & Gas
Apr 3, 2012 – Cairn Energy has agreed to buy Norwegian oil firm Agora Oil & Gas as part of a strategy to balance its portfolio of assets. Cairn will pay $450 million for Agora, which holds several assets in the UK and Norwegian North Sea. Agora holds a 15 percent stake in the Catcher P1430 license in the Central North Sea and a 20 percent interest in the Tybalt P1632 license in the Northern North Sea, along with nine other licenses.
Project Details: Catcher
DONG Reviewing Ipswich Data
Apr 3, 2012 – Noreco reported that the Oselvar license consortium, which houses the Ipswich discovery, is currently reprocessing seismic data acquired from the license. This will improve the understanding of the size of the discovery and map a possible upside potential. Given a positive outcome of this study, plans will be made for further drilling. Ipswich was discovered in August 2008 when exploration well 1/3-11 and sidetrack 1/3-11 T2 on the Ipswich-prospect proved oil in rocks of Paleocene age.
Project Details: Ipswich
Lundin Looking to Appraise South East Tor Discovery
Apr 3, 2012 – Lundin plans to further appraise the South East Tor discovery in license PL006C in the Norwegian sector of the North Sea. Further appraisal drilling is required to delineate the reservoir and to better define the reserve base for a development plan. South East Tor was discovered in 1972 and appraised in 1988.
Project Details: South East Tor
Lundin Brings Gaupe Field Online
Apr 2, 2012 – Lundin Petroleum has commenced production at the Gaupe field located in the Norwegian sector of the North Sea. Gaupe has estimated gross recoverable reserves of approximately 31 MMboe and is expected to produce about 6 Mboepd. The field is a cross-border subsea tie-back to the Armada platform, located in the UK sector of the North Sea, and will contribute to the doubling of production to 70,000 boepd in late 2015.
Project Details: Armada
Xcite Moves Forward with Bentley Development
Apr 2, 2012 – Xcite Energy reported that following the spudding of the Bentley 9/3b-7 well on March 18, 2012 by the jackup Rowan Norway (400′ ILC) good progress has been made in drilling the 36-inch hole. The 26-inch hole has been directionally drilled and the 20-inch surface casing has been set and cemented satisfactorily. Bently is under development with first oil slated for later this year.
Project Details: Bentley
Subsea 7 to Furnish Umbilicals, Flowlines for Cheviot Development
Apr 2, 2012 – ATP Oil & Gas awarded Subsea 7 a SURF contract for the Cheviot field in the UK sector of the North Sea. The Cheviot field development will use a moored floating process facility which will import oil and gas from four satellite drill centers allowing oil to be exported via shuttle tankers and gas to be exported to a third party host facility. The contract scope includes the transportation and installation of flexible flowlines and risers, control umbilicals, a 2.6-mile-long (4.2-kilometer-long) 14-inch flexible oil export pipeline and a 30 mile-long (48 kilometer-long) 10-inch rigid gas pipeline, together with the fabrication and installation of associated subsea structures. The contract scope also includes post installation, trenching of the subsea lines, tie-in of the lines to the Octabuoy and drilling centers, testing and pre-commissioning activities for the entire field facilities. Offshore operations are slated to begin in 2014.
Project Details: Cheviot
Shell Grants EPCI Contract for Draugen Field
Apr 2, 2012 – Shell and Ocean Installer have signed a Letter of Intent for the development of the Draugen field. The contract covers the EPCI services for further development of the subsea infrastructure at the Draugen field, in the context of Shell drilling four infill wells for the purpose of increasing the ultimate recovery factor and accelerating oil production at the field. Ocean Installer will be responsible for all phases of the operation, from planning and engineering to installation and establishment of connections. This includes: procurement and installation of approximately 11.5 miles (18.5 kilometers) oil production and gas lift flexible flowlines and jumpers including pull-in to the Draugen platform, installation of approximately 13-mile-long (21-kilometer-long) umbilicals including pull-in to the Draugen platform; procurement and installation of a T-manifold and protection covers; supply of rock dump; and detailed engineering. The project is expected to start-up immediately and is planned for completion in 2014.
Project Details: Draugen
Noreco Spuds Eik Prospect
Mar 30, 2012 – Noreco has commenced drilling at exploration well 7228/1-4 on the Eik prospect in the Barents Sea. The well is being drilled by the Transocean Barents (UDW semisub). The partners in the license PL396 are Noreco (operator, 50 percent), Front Exploration (30 percent) and Petoro (20 percent).
Project Details: Eik
Total Mobilizing Rigs for Elgin Relief Well
Mar 30, 2012 – Total is mobilizing two rigs to drill a relief well in an attempt to halt a gas leak from the Elgin platform in the North Sea, according to the U.K Department of Energy and Climate Change (DECC). The firm is also seeking a second solution of pumping heavy mud into the well, DECC added. “We believe the hydrocarbons are coming from a rock formation above the reservoir at a depth of 4,000 meters (13,120 feet),” a spokesperson for the firm told Rigzone. The Elgin/Franklin project has been shut-in since Monday, March 26.
Project Details: Elgin/Franklin
Aker Sails Goliat Subsea Manifolds to Field Location
Mar 30, 2012 – Aker Solutions has completed the manufacturing and load-out of eight subsea manifolds and six riser bases for Eni’s Goliat project in the Barents Sea. The load-out commenced on March 27, 2012. Aker Solutions’ Goliat contract, signed in September 2009, consisted of engineering, procurement and construction of a complete subsea production system. Subsea hardware deliveries include eight overtrawlable four-slot subsea templates with manifolds, wellheads system, 24 subsea trees, subsea and topside controls systems, 12 miles (20 kilometers) of steel tube umbilicals, work-over equipment and a tie-in and connection system. Goliat, the first oil field to be developed in the arctic waters of the Barents Sea, is scheduled to commence production in 2013. The field has a life expectancy of 15 years.
Project Details: Goliat
BP Augments Aker’s Maintenance, Modification Contract on Valhall
Mar 30, 2012 – BP will extend the maintenance and modification contract with Aker Solutions, exercising an option in the existing agreement for the Ula, Valhall, Skarv, Hod and Tambar fields. Work under the extended contract will last until April 2014. The original maintenance and modification contract was signed in 2005. Scope of work under the contract includes maintenance support services and brownfield modification projects covering engineering, procurement, fabrication and offshore installation. Maintenance and modification work will help to increase oil recovery rate and extend the life of BP’s fields.
Project Details: Valhall
N. America – US GOM
Technip to Install Lucius Subsea Equipment
Apr 5, 2012 – Technip received a lump sum contract from Anadarko for the development of the Lucius field. The contract covers installation of a flexible flowline; multiple flexible gas lift jumpers; main gas lift and infield umbilicals; subsea distribution units; electrical; fiber optic and hydraulic flying leads; design and fabrication of the flexible flowline end termination; fabrication and installation of rigid jumpers; burial of flowlines; and flooding and hydro-testing of the flowline system. Offshore installation will occur in 2013 and 2014.
Project Details: Lucius
Shell, Nexen Continue Winning Streak at Appomattox
Apr 2, 2012 – Shell has successfully drilled the northeast fault block of the Appomattox structure in the Gulf of Mexico. The company demonstrated contingent recoverable resource in the northeast block of approximately 215 MMboe, with a range of 120 to 370 MMboe of light oil. Future planned appraisal drilling will further refine this range.
Project Details: Appomattox
Asia – SouthEast
Premier Oil Performs Workover Ops on Anoa Field
Apr 4, 2012 – Premier Oil performed workovers on the A7 and A11 wells on the Anoa field, which added a further 30 MMcf/d of gas deliverability. A new oil well (A22) was successfully completed, which added around 1,500 bopd of incremental oil production. A three-well drilling campaign on the field’s West Lobe platform progressed well and included the discovery of new reserves in the deeper Lama reservoir below Anoa. In order to upgrade the compression facilities and to increase production capacity on the producing Anoa field, a major ‘brown-field’ development project has been sanctioned, extending the assumed field plateau and developing some 200 Bcf of gross field reserves. This project, known as Anoa Phase 4, will be completed in 2013.
Premier to Bring Additional Wells Online at Chim Sao
Apr 4, 2012 – Premier Oil reported that by year-end 2011, close to 2 MMboe had been produced from six production wells on the Chim Sao field, which came online in October 2011. An additional three production wells will be available to come on-stream in early 2012 when the four-well water injection system will come online. Furthermore, a well deepened into the Oligocene directly beneath the main field proved an estimated 56 feet (17 meters) of net hydrocarbon-bearing pay, and an additional well to be drilled in early 2012 will accelerate production from a shallow reservoir that has larger reserves than initially estimated. The CS-N2P well, a development production well for the Chim Sao project, intersected the shallow part of a previously undrilled fault terrace to the northwest of the Chim Sao field. The well encountered a 66 feet (20 meter) oil column in an independent closure within good quality Upper Dua sandstones. The plan is to further appraise this new accumulation in 2012 as a near-field tie-back opportunity.
Project Details: Chim Sao
Galoc Field Recommences Production
Apr 2, 2012 – Otto Energy has recommenced production at the Galoc oil field offshore Palawan in the Philippines following a planned shutdown for refurbishment of the FPSO. During the shutdown, the FPSO Rubicon Intrepid underwent planned re-certification, maintenance, inspection and turret installation work. Otto said the upgrade of the FPSO mooring system should increase the reliability and uptime of the FPSO and is a crucial component of infrastructure to enable the Galoc Joint Venture to move ahead with a potential phase II development of the Galoc field.
Project Details: Galoc
Australia
ConocoPhillips Spuds Boreas
Apr 5, 2012 – ConocoPhillips has spud the Boreas-1 well in the Browse Basin offshore Australia. The well is located on a large tilted fault block which is part of the northeast trending structural high of the greater Poseidon structure. The objective of the well is to test the extent, presence and quality of reservoirs within the Boreas-1 fault block. ConocoPhillips is using the Transocean Legend semisub for the entire drilling campaign (consisting of five wells), which is expected to continue through 2013. The principal objective of the exploration program is to better define the size and quality of the hydrocarbon accumulation within the exploration permits which contain the greater Poseidon trend.
Project Details: Boreas
Africa – West
Chariot O&G Spuds Tapir South
Apr 5, 2012 – Chariot O&G has commenced exploratory drilling on well 1811/5-1 at its Tapir South prospect offshore Namibia. Drilling operations are being performed by the Maersk Deliverer (UDW semisub). The prospect has a 25 percent chance of success and a mean un-risked prospective resource potential of 604 million barrels of oil.
Project Details: Tapir South
Rialto Encounters Drilling Problems at Gazelle-P3 Well
Apr 2, 2012 – Rialto Energy reported that while drilling the Gazelle-P3 development well, the drill-pipe became stuck. The drilling contractor, Transocean, is currently trying to rectify the rig equipment that encountered mechanical problems while trying to free the drill-pipe. It is estimated that the repairs to the rig and the subsequent operations to remedy the stuck-pipe situation will take two weeks, after which normal drilling operations will resume.
Project Details: Gazelle
Africa – Other
Anadarko Hits Additional Gas Pay in Rovuma Basin
Apr 4, 2012 – Anadarko made another gas find in the Rovuma Basin offshore Mozambique at its Barquentine-4 appraisal well. The Barquentine-4 well encountered 525 net feet (160 meters) of natural gas pay. This is the company’s ninth successful well in the complex, which is part of the larger Prosperidade complex that is estimated to hold recoverable resources of between 17 and 30 Tcf of gas. Drilling is slated to end in July 2012. The well is situated about 19 miles (31 kilometers) north of the Lagosta discovery well at the southern end of the Windjammer/Lagosta/Barquentine/Camarao gas complex.
Project Details: Barquentine

Paupa New Guinea: FLEX Updates on Gulf LNG Project

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FLEX LNG yesterday responded to the article published in the Norwegian business newspaper “Finansavisen” containing misleading information that portrays the Gulf LNG project in a manner that neither FLEX LNG nor InterOil Corporation recognize.

FLEX LNG has invested close to 500 million USD in equity in the construction contracts with SHI and a substantial amount of this equity will be allocated to the Gulf LNG project. The equity already paid in by FLEX LNG to Samsung Heavy Industries will cover all payments to Samsung Heavy Industries until delivery of the FLNG unit, when one final instalment will be due. Between Final Investment Decision (FID) and first LNG production from the Gulf LNG project, FLEX LNG’s funding requirement is limited to general working capital and project management cost in the period.

FLEX LNG is proud to be part of the Gulf LNG project – a project that is expected to bring huge value to the Nation of Papua New Guinea and the Gulf Province from 2014 when first LNG production is expected.

This can only be made possible by leveraging off work that has already been carried out by FLEX LNG in cooperation with Samsung Heavy Industries and WorleyParsons.”, FLEX LNG said in a press release.

Samsung Heavy Industries is the world’s leading shipyard, with an extensive experience in building complex offshore facilities and WorleyParson is a world leading EPC contractor.

Comments have been made in the press that the PNG government has shelved the Gulf LNG project.

This is not correct and we have received confirmation from InterOil that they remain focused on developing a world class LNG project compliant with the Project Agreement signed in 2009 and that FLEX LNG continues to be an integral part of these plans. In order to strengthen the Gulf LNG project a world-class operator will be brought into the project. InterOil and FLEX LNG are jointly working to attract such an operator to the project.“, FLEX LNG added.

Commenting on the current situation, Chief Executive Officer of FLEX LNG Management Ltd, Philip Fjeld stated:

FLEX LNG and its partners continue to work hard to achieve FID for the Gulf LNG project within 2011. FID for a large LNG project requires complete dedication by all parties involved and we are confident that all stakeholders involved in the Gulf LNG project are committed towards a timeline that would see LNG produced in 2014”.

Commenting on the current situation, the Chairman of InterOil, Phil Mulacek stated:

LNG development in the Gulf Province has significant support in Papua New Guinea, as well as by the Gulf Ministers and local landowners where we have our vast gas and condensate development, as stated by the Minister of Petroleum late last night, and re-confirmed by the Prime Minister today in our meetings. A clarification which we agreed to today with the Prime Minister, is that the Petroleum Minister would like a proven LNG operator to join the project to strengthen LNG operations. InterOil has committed to ensure this occurs and will be working with all parties for a solid and successful outcome.”

Original Article

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