Blog Archives

Worldwide Field Development News Aug 10 – Aug 16, 2012

This week the SubseaIQ team added 4 new projects and updated 29 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 GOM

Teikoku Oil Acquires Lucius Stake

Aug 15, 2012 – Inpex Corporation announced that through its subsidiary, Teikoku Oil, it has agreed to acquire a 7.2 percent participating interest in the Lucius project which includes portions of Keathley Canyon blocks 874, 875, 918 and 919 in the deepwater of the U.S. Gulf of Mexico, from a subsidiary of Anadarko Petroleum Corporation. After the joint venture agreement is finalized, the Lucius project will continue to be operated by Anadarko with a 27.8% participating interest, with the following companies participating: Plains (23.331%), Exxon Mobil (15%), Apache (11.669%), Petrobras (9.6%), Inpex (7.2 %) and Eni (5.4%). Anadarko and co-ventures made a Final Investment Decision (FID) to develop this project in December 2011, and the first production of crude oil and natural gas is expected to start in the latter half of 2014. Crude oil and natural gas pumped from the Lucius project will be processed with a truss spar floating facility with the capacity to produce in excess of 80,000 bopd and 450 MMcf/d. Processed crude oil and natural gas will then be exported to onshore facilities in Louisiana via a subsea pipeline.

Project Details: Lucius

Newfield to Explore Dalmatian South in GOM

Aug 13, 2012 – Murphy Oil announced plans to drill two to four exploration wells in 2012 and 2013 in DeSoto Canyon Block 134 in the Gulf of Mexico. The company is targeting various Miocene prospects, including the Dalmatian South prospect, which is very similar to their 2010 Dalmatian North discovery. Furthermore, Murphy has received official sanction of a three-well subsea tie-back of the Dalmatian field to the Petronius compliant tower production platform.

Project Details: Dalmatian South

BMT to Supply EFMS for Big Foot TLP

Aug 10, 2012 – Chevron has awarded a contract to BMT Scientific Marine Services to provide an Environmental and Facilities Monitoring System (EFMS) for the Chevron-operated Big Foot tension leg platform (TLP) in the Gulf of Mexico. The EFMS monitors, logs and displays data in real-time on the local environment and facility motions. It archives the data for assessing the TLP’s integrity over time and interfaces with the facility’s other platform control systems. Big Foot is currently under development and is expected to commence production in 2014.

Project Details: Big Foot

Australia

3D Oil to Explore Sea Lion Prospect Offshore Australia

Aug 15, 2012 – 3D Oil Limited announced plans to explore its Sea Lion prospect in permit area VIC/P57 offshore Australia. The prospect has prospective resources of 20.7 million barrels of oil in the same reservoir units as West Seahorse.

Project Details: Sea Lion (3D Oil)

3D Oil Moves Forward with West Seahorse Development

Aug 15, 2012 – 3D Oil has agreed to a $28 million farm-in deal with Hibiscus Petroleum to allow the progression of the West Seahorse development in permit VIC/P57, offshore Victoria. The agreement is subject to approval from Hibiscus’ shareholders and the Foreign Investment Review Board. It also requires a waiver from the Australian Securities Exchange. Under the agreement, Hibiscus will take a 50.1 percent operating stake in VIC/P57. The funding from Hibiscus will be used to kick-start the development of the West Seahorse oil field, which involves the drilling of up to two appraisal wells. In addition, the joint venture is exploring the possibilities of building a mobile offshore production unit (MOPU) and a floating, storage and offtake tanker, which will be moored to a buoy.

Project Details: West Seahorse

NZOG Relinquishes PEP 38259

Aug 10, 2012 – NZOG stated that after an extensive technical review the joint venture partners of PEP 38259 in the Canterbury Basin have agreed that the permit will be relinquished back to the Crown. NZOG holds a 40% stake in PEP 38259 with Beach Petroleum (NZ) Pty Ltd holding 35% and AWE New Zealand Pty Ltd 25% respectively.

Project Details: Barque

Africa – West

Subsea 7 to Supply, Install Subsea Components for Lianzi Development

Aug 16, 2012 – Subsea 7 has won a contract to supply and install subsea components for the development of the Lianzi field offshore Congo and Angola. The contract’s technical specifications include a 12-inch wet, insulated production flowline with direct electrical heating that will set a record for the deepest electrically-heated pipe. A part of the contract will be designed and fabricated in Luanda, with additional work carried out roughly 200 miles (322 kilometers) away in Lobito by Subsea 7’s Angolan joint venture. All flowlines will be spooled to the Seven Oceans rigid reel-lay ship at Subsea 7’s Luanda base. The $2 billion development will include a subsea production system and a 27-mile (43-kilometer) electrically heated flowline to transport the oil from the field to the BBLT platform. First oil is expected in 2015.

Project Details: BBLT

Europe – North Sea

EnQuest Working Through Kraken Concept Selection Phase

Aug 16, 2012 – EnQuest reported that during the first half of 2012, the company has been working through the concept selection phase of the Kraken development, with significant technical facilities and subsurface work underway. New 3D seismic survey material has been acquired, with initial interpretation nearing completion. The project remains on track for FDP submission in 1H 2013.

Project Details: Kraken

Ithaca Completes Drilling of Hurricane Well

Aug 15, 2012 – Ithaca Energy has completed the drilling of the Hurricane appraisal well in the Greater Stella area of the Central North Sea and is now proceeding to conduct a drill stem test. The Hurricane well (29/10b-8) was drilled to a total measured depth of 10,779 feet (3,285 meters) to appraise hydrocarbon bearing sands in the eastern lobe of the Hurricane structure closure. Logs indicate that the well has encountered hydrocarbons, which Ithaca said could be liquid-rich gas, in both the Rogaland and Andrew sands. Pressure and fluid sampling has been undertaken across both reservoir and sand intervals, and an initial DST will be conducted over the Andrew sand interval. Ithaca stated that the overall development work program for its Stella and Harrier fields were progressing as planned, with all major operational contracts in place following the Technip contract.

Project Details: Stella/Harrier

Apache Appraises Aviat Gas Discovery

Aug 13, 2012 – Apache is using the Rowan Gorilla VII (450′ ILC) to drill its Aviat appraisal well. This appraisal well is designed to assess whether this shallow gas field can provide fuel to operate the Forties Field to offset diesel import. Drilling is expected to take a little over three months.

Project Details: Aviat

Clipper South Comes Online

Aug 13, 2012 – RWE Dea has delivered first gas from the Clipper South development in the UK sector of the North Sea. The field contains around 13.4 Bcm of gas in place. The first Clipper South well came on stream at initial rates of 1.2 MMcm/d with production expected to peak at 2.8 MMc/d in early 2013. The gas is located in a tight Permian age Rotliegend reservoir which contains about 3.4 Bcm of gas in place. The Clipper South Gas field lies in the UK Continental Shelf (UKCS) blocks 48/19 and 48/20, 62 miles (100 kilometers) east of the Lincolnshire coast. Gas from the Clipper South platform is transported about 9 miles (15 kilometers) to the Lincolnshire Offshore Gas Gathering System (LOGGS) and then about 62 miles (100 kilometers) to the onshore Theddlethorpe Gas Terminal in Lincolnshire, where the gas enters the UK grid.

Project Details: Clipper South

Heerema to Fabricate, Commission Topsides for Cygnus Development

Aug 13, 2012 – Heerema Fabrication Group has received a frame contract from GDF Suez E&P UK for the fabrication and commissioning of four topsides for the Cygnus gas field development in the UK sector of the North Sea. Fabrication of the Cygnus Alpha Wellhead topsides is due to start in December 2012 with completion scheduled for March 2014. This is to be followed by expected commencement of fabrication in June 2013 of the Cygnus Alpha processing & utilities module, bridges and flare as well as the Cygnus Bravo Wellhead topsides — all scheduled for completion in April 2015. Subsequently in December 2013, the fabrication of the Cygnus Alpha compression module will start, which will also be ready for installation onto the PU topsides in 2015.

Project Details: Cygnus

Eni Spuds Salina Prospect

Aug 13, 2012 – Eni has commenced drilling of well 7220/10-1 in PL 533 at the Salina prospect (formerly Pulk) in the Barents Sea. The main objective of the well is to prove the presence of hydrocarbons in the reservoir.

Project Details: Salina

Det norske Comes Up Dry in Ulvetanna Prospect

Aug 13, 2012 – Det norske is in the process of completing the drilling of well 3/4-2S on the Ulvetanna prospect. The objective of the well was to prove petroleum in Cretaceous reservoir rock. The estimated main reservoir, the Tor formation, was encountered in the well, but contained no hydrocarbons. The Ulvetanna prospect is situated in PL 356 in the southern part of the North Sea in 167 feet (51 meters) of water.

Project Details: Ulvetanna

Lundin to Recommence Drilling Operations at Albert in 3Q 2012

Aug 10, 2012 – Lundin Petroleum reported that the Bredford Dolphin (mid-water semisub) is slated to return to the Albert field location (PL 519) in 3Q 2012 to finish drilling operations. The exploratory well was spud and temporarily suspended in June because the semisub needed to be reclassified. The main objective of the well is to test the Cretaceous and Triassic age sandstones of a multiple target structure.

Project Details: Albert

DONG Continues with Oselvar Development

Aug 10, 2012 – DONG Energy is continuing to develop the Oselvar field, in Production License 274, in the Norwegian sector of the North Sea. Production from the field commenced in April, but the production ramp up has been slower than expected, stated Noreco, a partner in the field. The third and final production well was completed and tested in June, and the drilling rig has left the location. The field is currently producing from two wells and the third well is expected to come online during 3Q 2012. Thus far, the field has produced on average of 3,608 boepd.

Project Details: Oselvar

S. America – Venezuela

Perla to Hit 300MMcf/d by 2014

Aug 16, 2012 – Petroleos de Venezuela expects to reach its goal of producing about 300 MMcf/d of natural gas at its Perla field by 4Q 2013. Dow Jones reported that PdVSA had pushed back the estimated start of production at Perla to the first quarter of 2013 from its earlier estimate of the end of this year. It didn’t cite a reason for the delay.

Project Details: Perla

S. America – Brazil

Statoil Selects RDA for Peregrino FEED Work

Aug 16, 2012 – Statoil has selected RDS to perform the Front End Engineering Design (FEED) for a fixed drilling rig, which will be part of the Peregrino phase II project. Peregrino commenced production in March 2011 and produces about 75,000 bopd.

Project Details: Peregrino

Petrobras Drills Ahead in Carcara to Determine Total Thickness of Oil Reservoir

Aug 15, 2012 – Petrobras is currently testing the Carcara prospect, exploratory well 4-SPS-86B (4-BRSA-971-SPS), on Block BM-S-8 in the ultra-deep waters of the pre-salt area in the Santos Basin. The operator is inside the oil zone at a depth of 20,384 feet (6,213 meters) to determine the total thickness of the oil reservoirs, as well as the presence of deeper pay zones. Oil samples were collected at a depth of 20,115 feet (6,131 meters), which have proven a good 31 degree API oil quality, stated the operator. The well has also proven that the carbonate reservoirs carry outstanding porosity and permeability characteristics. The in-progress drilling has confirmed over 1,312-foot (400-meter) column of oil, featuring mostly continuous and connected reservoirs.

Project Details: Carcara

Recap: Worldwide Field Development News Jul 27 – Aug 2, 2012

This week the SubseaIQ team added 7 new projects and updated 29 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 GOM

McDermott to Deliver New Junction Facilities for GOM

Aug 2, 2012 – McDermott has received a contract by the Discovery system for offshore facilities in the Gulf of Mexico. The project is to deliver new junction facilities for Discovery’s Keathley Canyon connector pipeline system with a 3,300-ton, four-leg platform in 350 feet (107 meters) of water. The unmanned platform will provide pipeline junction facilities for incoming deepwater pipelines from the Hadrian South and Lucius fields and four outgoing shallow-water pipelines to shore. Fabrication is expected to commence this summer in Louisiana with offshore installation commencing in 3Q2013.

Project Details: Lucius

Apache Continues to Drill Parmer Appraisal Well

Aug 1, 2012 – Stone Energy reported that the Parmer appraisal well, which was spud during the second quarter of 2012, is expected to reach total depth in the third quarter of 2012.

Project Details: Parmer

Eni Gearing Up to Spud Phinisi in 2013

Aug 1, 2012 – Eni plans to commence drilling on the deepwater Phinisi well in the first quarter of 2013 using the Deepwater Pathfinder (UDW drillship). The water depth of the site is 6,837 feet (2,084 meters) and is targeting oil and gas.

Project Details: Phinis

MidEast – Persian Gulf

CNPC Pulls Out of Iran’s South Pars Project

Jul 30, 2012 – China National Petroleum has pulled out of developing Phase 11 of Iran’s offshore South Pars gas field, reported Dow Jones newswires. The firm, which had delayed the project for more than 1,130 days, has already withdrawn all of its workers from the southern Iranian port city of Assaluyeh, the onshore part of South Pars gas field in the Persian Gulf, Mehr said, citing information from the oil ministry.

Project Details: South Pars

Asia – SouthEast

ExxonMobil Finds More Pay Offshore Vietnam

Jul 30, 2012 – ExxonMobil has encountered additional hydrocarbons in its third well offshore Da Nang, Vietnam. The well 118-CVX-3X, on the Ca Voi Xanh field, was drilled by the Seadrill West Aquarius (UDW semisub). The well has been plugged, and the rig has left the site.

Lundin Drills Duster in Tiga Papan Well

Jul 27, 2012 – Lundin Petroleum has completed the Tiga Papan-5 well in Blocks SB307 and SB308 offshore Sabah, Malaysia. The Tiga Papan-5 well targeted an un-appraised fault block of mid-Miocene aged sands at the Tiga Papan unit, which was successfully tested in 1982 by the Tiga Papan 1 well. The well penetrated the target reservoir interval but proved to be water-bearing. The well will be plugged and abandoned as a dry hole. Offshore Courageous (350′ ILC) jackup will now move to drill the Barangan prospect located in Block SB303.

Project Details: Tiga Papan

Europe – North Sea

ProServ to Provide Subsea Services for Flyndre/Cawdor Development

Aug 2, 2012 – Proserv has received a contract from Maersk Oil UK to provide electro-hydraulic multiplex subsea control systems along with its associated topside and subsea interface systems for the development of the Flyndre and Cawdor project. Maersk Oil is developing a 16-mile-long (25-kilometer-long) subsea tie-back to the Clyde platform, which the fields will connect to. The development is scheduled to commence production in 2013.

Project Details: Flyndre and Cawdor

Second Well at Bacchus Comes Online, Increases Production

Aug 2, 2012 – Apache has completed a horizontal well on the Bacchus field which has increased production to 12,900 bopd. The well, Bacchus West, penetrated Jurassic-aged Fulmar reservoir sandstones and logged 889 feet (271 meters) of net pay in three sections. The well currently is producing about 8,500 barrels of oil per day. The first well on the field, Bacchus South, commenced production in May 2012 and reached levels of about 6,000 bopd. Currently the well is producing nearly 4,400 barrels per day. Bacchus is subsea tied-back to the Forties Alpha platform. The Rowan Gorilla VII (450′ ILC) jackup will relocate to the Aviat shallow gas discovery for appraisal drilling.

Project Details: Forties

Dana Successfully Appraises Platypus

Aug 2, 2012 – Dana Petroleum reported that the Platypus gas appraisal well in the Southern North Sea has recorded a test flow rate of 27 MMcf/d on a 96/64-inch choke. The ENSCO 80 (225′ ILC) jackup drilled the well to a total measured depth of 14,175 feet (4,321 meters). A drill stem test was completed and the well is being suspended for use as a future production well. Platypus is located in Block 48/1a in the UK southern North Sea. It was discovered in 2010 when well 48/1a-5 encountered the gas bearing Lower Leman Sandstone reservoir.

Project Details: Platypus

PetroMarker to Perform EM Survey on Grouse Prospect

Aug 1, 2012 – Faroe Petroleum has selected PetroMarker a contract for an EM survey on their Grouse prospect. Grouse is located in UK License P1853, which lies north of the Shetlands, in an area close to existing infrastructure. The EM survey will be executed with the newly mobilized Normand Baltic at the end of June.

Project Details: Grouse

Wintershall Comes Up Dry at Kakelborg Prospect

Aug 1, 2012 – Wintershall, operator of Production License 370, has completed the drilling of wildcat well 33/6-4 on the Kakelborg prospect in the Norwegian North Sea. The well, which is dry, did not encounter reservoir rocks in the Lista formation. The objective of the well was to prove petroleum in reservoir rocks from the Paleocene Age. The well was drilled to a vertical depth of 5,950 feet (1,814 meters) below the sea surface, and terminated in the Jorsalfare formation in the Shetland group in the Upper Cretaceous. Well 33/6-4 was drilled by the Borgland Dolphin (DW semisub) drilling facility.

Project Details: Kakelborg

Ithaca Grabs Greater Stella Area Contract

Jul 30, 2012 – Ithaca Energy is moving forward with development on the Stella and Harrier fields by awarding Technip a contract to carry out all subsea engineering work in the Greater Stella Area. The EPIC (engineering, procurement, installation and construction) contract includes the detailed design and pipelay of a 20-mile (32-kilometer), 10-inch oil export pipeline and a 38-mile (61-kilometer), 10-inch gas export pipeline to the fields’ production platform, along with various other subsea work. The contract is scheduled to be completed in the second half of 2013. The Greater Stella Area development is located on the UK Continental Shelf around 175 miles (282 kilometers) east-southeast of Aberdeen, Scotland, in a depth of approximately 300 feet (91 meters).

Project Details: Stella/Harrier

Statoil Spins Bit at Geitungen

Jul 27, 2012 – Statoil has commenced exploratory drilling on well 16/2-12 targeting the Geitungen structure. The main objective of well 16/2-12 is to prove the presence of oil-bearing Jurassic sandstones similar to the Johan Sverdrup discovery. The planned total depth of the well is 6,759 feet (2,060 meters) and will be drilled by the Ocean Vanguard (mid-water semisub). Drilling should take about 40 days.

Project Details: Geitungen

Africa – Other

Papa Goes the Distance for Ophir

Aug 2, 2012 – BG Group has made a Cretaceous gas discovery at the Papa-1 well in Block 3 offshore Tanzania. The well encountered a 292-foot (89-meter) gas bearing column in the Upper Cretaceous; and based on the preliminary data available, the operator estimates that it holds 0.5-2.0 Tcf in place. A detailed core and petrophysical analysis will confirm the scale of the discovered resource. The well was spud on May 29, 2012 in 7,172 feet (2,186 meters) of water and was drilled by the drillship Deepsea Metro I (UDW drillship) to a total depth of 18,189 feet (5,544 meters) subsea in 57 days.

Project Details: Papa

Eni Finds Additional Gas in Area 4 Offshore Mozambique

Aug 1, 2012 – Eni announced that a discovery has been made in the eastern part of Area 4, offshore Mozambique, at the Mamba North East 2 exploration prospect. The new discovery adds at least 10 Tcf of gas in place to Area 4, confirming at least 62 Tcf of gas in-place already discovered, bringing the resources, exclusively located in Area 4, to at least 20 Tcf plus of gas in place, stated the operator. Mamba North East 2, where Eni will conduct a production test, was drilled in 6,542 feet (1,994 meters) of water and reached total depth of 17,602 feet (5,365 meters). The well is located approximately 6 miles (9 kilometers) east of Mamba North East 1 and approximately 14 miles (23 kilometers) from Mamba South 1, 37 miles (60 kilometers) off the Capo Delgado coast. The well encountered 656 feet (200 meters) of gas pay in stacked multiple high-quality Oligocene, Eocene and Paleocene sands. The discovery has proved the existence of hydraulic communication with the Oligocene reservoir in Mamba North East 1 and with those of the Eocene age in Mamba North East 1 and Mamba South 1, through a unique gas column of 1,509 feet (460 meters). Lastly, Mamba North East 2 has identified a new exploration play in the Paleocene located exclusively in Area 4.

Project Details: Mamba South/North

Africa – West

Tap Oil Gazes at Starfish in Ghana

Aug 1, 2012 – Tap Oil announced plans to commence drilling on the Starfish prospect in 1Q13. Starfish is considered a well-defined, large ‘Jubilee style’ Upper Cretaceous fan play at comparable burial depths to the producing Jubilee reservoir. It has recoverable oil potential of 500 million to 1.2 billion barrels at the P50 to P10 range.

Project Details: Starfish

Chevron Tags $2B for Development of Offshore Lianzi Project

Jul 30, 2012 – Chevron announced that its subsidiary will proceed with the development of the Lianzi field located in a unitized offshore zone between the Republic of Congo and the Republic of Angola. Located 65 miles (105 kilometers) offshore in approximately 3,000 feet (900 meters) of water, the Lianzi field will be developed via a subsea tie-back to the existing Benguela Belize Lobito Tomboco (BBLT) platform located in Angola Block 14. The $2 billion development will include a subsea production system and a 27-mile (43-kilometer) electrically heated flowline to transport the oil from the field to the BBLT platform. First oil is expected in 2015. Once completed, the project is expected to produce a maximum of 46,000 barrels of oil equivalent per day. Chevron Overseas Congo Limited is operator of the Lianzi field and has a 31.25% interest, along with Total (36.75%), ENI (10%), Sonangol (10%), SNPC (the Republic of Congo National Oil Company 7.5%), and GALP (4.5%).

Project Details: BBLT

Chariot Spuds Nimrod Prospect

Jul 30, 2012 – Chariot Oil & Gas has commenced exploratory drilling on the Nimrod prospect offshore Namibia. The company said that the well is the second in its four-to-five well drilling program in the region. The well is being drilled by the Ocean Rig Poseidon (UDW drillship). The firm has previously reported that Nimrod is estimated to contain around 4.9 billion barrels of potential gross mean prospective resources. The drilling location is around 50 miles (80 kilometers) offshore Namibia in 1,180 feet (360 meters) of water and has an estimated total drilling depth of approximately 11,000 feet (3,353 meters). Drilling and logging operations are expected to take approximately 60 days.

Project Details: Nimrod

S. America – Other & Carib.

Borders & Southern Plugged, Abandoned Stebbing Well

Aug 1, 2012 – Borders & Southern announced that well 61/25-1 (Stebbing) has been successfully plugged and abandoned, bringing an end to the Company’s current two well drilling program. The Leiv Eiriksson (UDW semisub) drilling rig will now be assigned to Falkland Oil and Gas for its two well program at Loligo, after which it will be demobilized.

Project Details: Loligo

Recap: Worldwide Field Development News Jul 13 – Jul 19, 2012

This week the SubseaIQ team added 1 new projects and updated 31 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 GOM

Deep Gulf Strikes Oil at Bushwood Field in GOM

Jul 17, 2012 – Helix Energy has made an oil discovery at the Danny II exploration well at the Bushwood field, located in Garden Banks Block 506. The well encountered more than 70 feet (21 meters) of high-quality net pay, which reached a total depth of about 14,750 feet (4,496 meters) in a water depth of 2,800 feet (853 meters). The well is currently being completed and will most likely be developed via a subsea tie-back system to the company’s 70 percent owned and operated East Cameron Block 381 platform located approximately 31 miles (50 kilometers) to the north in 370 feet (113 meters) of water. First production from Danny II is expected in the fourth quarter of 2012. Helix holds a 50 percent working interest in the exploration well jointly with Deep Gulf Energy LP (Operator) and Deep Gulf Energy II, LLC, who own the other 50 percent working interest.

Anadarko to Appraise Shenandoah Discovery

Jul 16, 2012 – Anadarko is currently drilling the Shenandoah appraisal well in Walker Ridge 51 in approximately 5,800 feet (1,768 meters) of water. The operator is using the ENSCO 8505 (UDW semisub) to drill the well to a proposed depth of 32,000 feet (9,754 meters).

Project Details: Shenandoah

Australia

Santos to Spud Crown-1 in 3Q12

Jul 19, 2012 – Santos Energy reported that it plans to explore the Crown-1 well in the Browse Basin in 3Q 2012. The well is targeting gas in the WA-274-P permit in Australia’s Browse Basin.

Project Details: Crown

Santos Defers Kipper Production until 2016

Jul 19, 2012 – Santos Energy reported that drilling, completion and subsea tie-work at the Kipper development is complete, and the Kipper facility is expected to be completed in 2012. However, due to unforeseen circumstances arising from the existence of trace amounts of mercury, Kipper gas will not come online until dedicated mercury handling facilities are installed. The operator has outlined to the Kipper Unit Joint Venture (KUJV) parties a preliminary scope of work for mercury removal facilities to be built by the Gippsland Basin Joint Venture (GBJV) parties. KUJV has agreed to GBJV proceeding with detailed engineering studies to confirm the scope and cost of works. These studies are expected to be completed mid-2013 to allow a final investment decision to be made in respect of these facilities. Subject to a final investment decision, the operator has advised that first gas from Kipper is most likely to be in the first half of 2016.

Project Details: Kipper

MEO Acquires Seismic Data over WA-360-P Permit

Jul 18, 2012 – MEO Australia has acquired 3D data over its WA-360-P permit and an initial evaluation has supported the postulated connection of the Jurassic reservoirs forecast at the Maxwell prospect to the Triassic reservoirs of the Wheatstone gas field. MEO reported that the postulated connection extends north from Wheatstone through the adjacent permit and continues to Maxwell. Full depth correction of the seismic over Maxwell combined with the results of the Ananke-1 well, to be drilled shortly by the WA-269-P JV in the adjacent permit, will be critical in advancing Maxwell to drillable status.

Environmental Regulators Give Nod for Browse LNG Development

Jul 16, 2012 – Western Australia‘s Environment Protection Authority chairman Paul Vogel has recommended the $35 billion Woodside Petroleum-led Browse liquefied natural gas project can precede, describing the assessment as the most complex in the agency’s history. The recommendation is subject to a two-week public appeal process before the EPA’s assessment will go to state and federal environmental ministers. The EPA’s 29 conditions embrace underwater noise monitoring and fossil heritage management plans to sediment disturbance testing. Final bids from contractors for the onshore work at James Price Point are to be finalized later this month, which will give the partners a clearer view of the economics of the 12 million ton a year LNG plant.

Project Details: Browse LNG

Aker Solutions Signs Ichthys SURF Contract

Jul 16, 2012 – Aker Solutions has signed a contract with McDermott for the Ichthys gas-condensate field development. The scope of work includes the engineering, procurement, fabrication and supply of static and dynamic umbilicals, totaling 39 miles (63 kilometers) for the Ichthys LNG project. Key equipment within this contract comprise five dynamic umbilicals, seven static umbilicals, 36 steel tube flying leads, and associated equipment and hardware. The umbilicals and flying leads will be manufactured and delivered by Aker Solutions’ facility in Moss, Norway, and supported by the project management, design and engineering teams in Fornebu, Norway. The expected delivery date is 4Q 2014.

Project Details: Ichthys

Planned Upgrade of the Offshore Yolla Platform Sees Delays

Jul 13, 2012 – AWE and Origin reported that upgrades of the Yolla platform sited offshore in the Bass Strait, Victoria, will be delayed until the summer of 2012/2013. The first phase of the project, to convert the previously unmanned platform to one with accommodation installing export compression and condensate pumping modules, was originally scheduled to be completed by April 2012. Origin, the operator of the project, was however forced to push back the project scheduled due to challenging weather conditions in the Bass Strait. AWE owns a 46.25 percent stake in the project, while Origin and Toyota Tsusho Gas E&P Trefoil own a 42.5 percent and 11.25 percent stake respectively.

Project Details: BassGas Project

S. America – Other & Carib.

Borders Abandons Stebbing Well

Jul 17, 2012 – Borders & Southern Petroleum has abandoned its Stebbing well in the South Falkland Basin because anomalous pressure conditions meant it was unable to reach the deeper zones it was targeting. The Stebbing well (61/25-1) was drilled to a total measured depth of 10,040 feet (3,060 meters) and encountered “very strong gas shows” in the Tertiary section of the drill. Petrophysical analyses of the logs suggest an interval of thin-bedded siltstones and claystones with a net-to-gross of 36-percent and an average porosity of 19 percent. However, Borders said that due to the thin-bedded character of this sequence it was not possible to obtain a clear indication of the fluid type or saturation. Although the geophysical anomalies identified on seismic are coincident with this zone containing hydrocarbons, Borders??? initial assessment is that this upper target is unlikely to be commercial. Consequently, Borders took the decision to cease drilling and now intends to plug and abandon the well. The Leiv Eiriksson rig (DW semisub) will be released.

Project Details: Stebbing

Tullow to Abandon Jaguar-1 Well on Safety Concerns

Jul 16, 2012 – Drilling operations at the Jaguar-1 well in the Georgetown Block, Guyana, have ended and the well will be plugged and abandoned at a depth of 15,997 feet (4,876 meters), without reaching the primary objective. The partners unanimously agreed to stop drilling due to safety criteria. Jaguar-1 is a high-pressure, high-temperature well which was spud in February 2012 using the Atwood Beacon (400′ ILC) jackup. While the primary Late Cretaceous objective was not reached, samples of light oil were successfully recovered from two Late Cretaceous turbidite sands above the primary objective.

Project Details: Jaguar

Shell Begins Drilling Activities in Guyane Maritime Permit

Jul 16, 2012 – Shell has spud the GM-ES-2 well at its Guyane Maritime permit using the Stena DrillMax ICE (UDW drillship). The well, which is located in 6,200 feet (1,890 meters) of water, is being drilled to delineate the Zaedyus discovery.

Project Details: Zaedyus

Mediterranean

Cooper Secures Rig for Hammamet West-3 Well

Jul 17, 2012 – Cooper Energy has secured a drilling rig from Romanian Grup Servicii Petroliere (GSP) for its Hammamet West-3 well on the Bargou exploration permit, offshore Tunisia. The Bargou joint venture, with Cooper as operator, had signed a letter of intent with GSP for the use of the jackup rig GSP Jupiter (300’ILC) to drill the well which is scheduled to spud in December 2012. However, the spud date is dependent on when the rig is released from its prior commitments, so drilling might not occur until March 2013. Hammamet West-3 is being drilled to further assess the oil resource within the Abiod formation. Cooper intends to drill the well to penetrate the reservoir with a slightly deviated pilot hole. A highly deviated wellbore will then be drilled and tested, to confirm the oil productivity of the formation.

Project Details: Hammamet West

Africa – West

Rialto Completes Drill Stem Test at First Well in Block CI-202

Jul 18, 2012 – Rialto Energy has completed a drill stem test at the Gazelle-P3 ST2 well, achieving maximum flow rates of 19.5 MMcf/d of gas and an unstablized rate of 760 bopd from separate sands within the Upper Cenomanian reservoir. The operator stated that the maximum gas flow rate was constrained due to downhole equipment limitations. The estimated deliverability of the reservoir with standard 4.5-inch production tubing rather than the 3.5-inch test string is 33 MMcf/d.

Project Details: Gazelle

Wawa Confirms Additional Hydrocarbons in Deepwater Tano Block

Jul 18, 2012 – Tullow Oil has confirmed the presence of additional hydrocarbon-bearing formations in the Deepwater Tano Block offshore Ghana with the Wawa-1 exploration well. The well, which was drilled by the Atwood Hunter (DW semisub), encountered about 43 feet (13 meters) of oil pay and 65 feet (20 meters) of gas condensate pay. Wawa-1 was drilled in nearly 1,926 feet (587 meters) of water to a total depth of 10,899 feet (3,299 meters). The discovery reaches hydrocarbon-bearing formations over 6 miles (10 kilometers) north of the Enyenra-3A well, said Anadarko Senior Vice President of International and Deepwater Exploration Bob Daniels in a statement on Wednesday.

Project Details: Wawa

S. America – Brazil

Peregrino Field to Hit Plateau in Coming Weeks

Jul 17, 2012 – Statoil expects for its Peregrino oil field to reach a plateau production of about 100,000 barrels a day by mid-August as two new wells start output in the coming weeks. The field currently produces about 75,000 barrels of heavy crude per day.

Project Details: Peregrino

Petrobras Finds Oil in Espirito Santo Basin

Jul 13, 2012 – Petrobras has discovered a new oil accumulation in the post-salt layer of the Espirito Santo Basin. The discovery was made during the drilling of the Grana Padano well, 40 miles (64 kilometers) from the Golfinho field, at a water depth of 3,963 feet (1,208 meters). Petrobras said the discovery was confirmed by the gas detector response and profiling data for reservoirs at a depth of 6,588 feet (2,008 meters). The consortium will continue exploring the block and intends to submit a proposed assessment plan to the National Petroleum Agency with the aim of delimiting the accumulation discovered and estimating reservoir volumes and productivity.

Asia – SouthEast

Otto Energy Acquires 3D Data over SC 69

Jul 19, 2012 – Otto Energy reported that recently acquired 3D seismic data over Service Contract 69, offshore Philippines, has confirmed the presence of three attractive potential drilling targets in the most prospective portion of the block, namely Lampos, Lampos South and Managau East. A nine-month extension to the present permit term was granted by the Philippines DOE to allow sufficient time to complete detailed technical evaluation of the prospects and allow considered selection of the most attractive prospects for drilling. The operator stated that during the extension period, outstanding technical work will be completed, the prospect portfolio will be ranked and well planning will commence.

Newfield Increases Production in Belumut/Chermingat Complex

Jul 19, 2012 – Newfield Exploration reported that the East Belumut/Chermingat complex achieved a recent production record of more than 43,000 bopd. The increase in production is a result of recent successful development drilling and facility optimization.

Project Details: Belumut

BHP Billiton Scouting for Rig to Drill Cinco Prospect

Jul 19, 2012 – The SC55 joint venture is currently preparing for the drilling phase of exploration activities expected to commence with the Cinco-1 exploration well. The operator reported that it is currently negotiating access to an appropriate ultra deepwater rig with specialized well control equipment that will promote safe drilling operations on the proposed Cinco prospect. No specific data for commencement of drilling operations has been finalized.

Project Details: Cinco

Otto Energy Embarks on Galoc’s Second Phase of Development

Jul 19, 2012 – The Galoc joint venture is still moving forward with Phase II of the field’s development, which remains on schedule for the Final Investment Decision (FID) in 3Q 2012. The scope of FEED work, to be undertaken prior to FID, includes detailed subsurface modeling of the reservoir, drilling and completion design, subsea engineering and tie-back design for new wells. The consortium has pre-invested in the required infrastructure, including wellheads, flowlines and umbilical lines to ensure drilling can occur in 2013.

Project Details: Galoc

Europe – North Sea

BP Finds Gas near Marulk Field in North Sea

Jul 18, 2012 – BP has made a small gas discovery near the Marulk gas field in the Norwegian North Sea. The wildcat well, 6507/3-9S, situated in Production License 212E, found recoverable gas estimated at between 42 and 81 Bcf. It was drilled to a total vertical depth of 9,590 feet (2,923 meters) and encountered gas in Upper Cretaceous reservoir rocks in the Lysing formation. The 6507/3-9S well is now being plugged and abandoned, while the Polar Pioneer (DW semisub) rig used to drill it will move on to work on production wells in the nearby Cormorant field.

Project Details: The Greater Norne Area

Technip to Expand Drill Centers in the Alvheim Area

Jul 17, 2012 – Marathon has awarded Technip a contract to work on the ongoing expansion of the subsea drill centers at Kneler B and Volund in the Alvheim area of the Norwegian sector of the North Sea. The contract includes engineering, fabrication, installation and diving tie-ins of pipeline spools, including protection covers and installation of a manifold. The offshore construction work will take place in 2012 and 2013.

Project Details: Alvheim

Wintershall Spuds Kakelborg Prospect

Jul 16, 2012 – Wintershall has spud the Kakelborg prospect, 33/6-4, in Production License 370 in the Norwegian sector of the North Sea. The operator is using the Borgland Dolphin (mid-water semisub) to drill the well in 1,076 feet (328 meters) of water. The rig is expected to reach total depth in August.

Oil Spill at Osprey Field

Jul 16, 2012 – An oil spill has occurred on the Osprey field in the UK sector of the North Sea, confirmed the Department of Energy and Climate Change. The spill, reported on Friday by Fairfield Energy, was discovered when a hydrocarbon sheen was seen in the vicinity of the Osprey subsea manifold which feeds back to the Dublin Alpha installation. Fairfield said that two on-line wells at Osprey have been closed in response to the spill. The firm and its partners are making efforts to identify the source of the oil, and a specialist vessel with a remotely-operated vehicle onboard is being mobilized to the location of the spill. An ongoing series of aerial observations is also taking place. Fairfield estimates that up to 8.7 tons of oil has been released into the sea.

Project Details: Dunlin

OMV Buys 15% of Aasta Hansteen Field from Exxon

Jul 13, 2012 – OMV has agreed to buy a 15 percent stake in the Aasta Hansteen field from ExxonMobil. The field contains what OMV sees as three significant gas discoveries with expected recoverable net volumes between 40 and 60 million barrels of oil equivalent of gas and between 0.8 and one million barrels of oil equivalent of condensate in a water depth of approximately 4,265 feet (1,300 meters). The acquisition also includes a 6.15 percent stake in the Norwegian Sea Gas Infrastructure project, which will see OMV’s overall stake in the project increase to 7.9 percent.

Project Details: Aasta Hansteen (Luva)

GDF Suez Sanctions Juliet Development

Jul 13, 2012 – GDF Suez has sanctioned the Juliet gas field at Block 47/14b in the UK sector of the North Sea. First gas from Juliet is expected in 4Q 2013 with peak production from the field anticipated to be 80 MMcf/d. The development will compromise two horizontal subsea wells tied-back some 14 miles (22 kilometers) to the Penrenco-operated Pickerill A platform via a 12-inch diameter pipeline and control umbilical. The operator will drill the first well in 2Q 2013 with topsides and subsea construction taking place throughout 2013. Existing infrastructure will transport Juliet gas to the ConocoPhillips operated Theddlethorpe terminal on the Lincolnshire coast.

Project Details: Juliet

Dana Moves Forward with Western Isles Project

Jul 13, 2012 – Dana Petroleum has entered the detailed engineering design phase on the $1.5 billion Western Isles development project in the UK sector of the North Sea. The Western Isles project will develop two discovered oil fields called Harris and Barra, which lie 99 miles (160 kilometers) east of the Shetlands and 7 miles (12 kilometers) west of the Tern field. The development will consist of nine wells. Work on the detailed engineering design will begin immediately and the project is expected to receive full approval from the UK Government towards the end of 2012, with first oil production expected in 2015. The Harris and Barra fields are estimated to contain recoverable oil reserves of 45 million barrels, with upside potential in the area.

Project Details: Western Isles

Sevan Marine Inks Western Isles FPSO Deal

Jul 13, 2012 – Dana Petroleum has selected Sevan Marine’s FPSO technology for the Western Isles development project. Sevan Marine and Dana Petroleum have negotiated two agreements, one technology license agreement whereby Dana pays a license fee to Sevan for the right to use the proprietary Sevan Technology, and one Service Agreement under which Sevan will provide technical and administrative resources to Dana during the project. The development is expected to produce more than 40,000 barrels of oil equivalent each day and the project is expected to receive full approval from the UK government towards the end of 2012, with first oil production expected in 2015.

Project Details: Western Isles

N. America – US Alaska

Buccaneer Energy Set to Mobilize Jackup to Cook Inlet

Jul 19, 2012 – Buccaneer Energy Limited reported that the Endeavour, Spirit of Independence (300′ ILC) will be transported from Singapore to Cook Inlet, Alaska. The Endeavour is expected to depart Singapore at the end of July 2012 and it will take about 21 days to reach the Cook Inlet, where the rig will be offloaded and towed via tug to the first well location in the operator’s offshore program. It is anticipated that the rig will be towed to the Cosmopolitan location in the ice free southern Cook Inlet to commence drilling operations.

Black Sea

Melrose Acquiring 3D Data over Muridava, Est Cobalcescu Concessions

Jul 16, 2012 – Melrose Resources has commenced seismic operations at the company’s Muridava and Est Cobalcescu concessions in the Romanian Black Sea using the Vyacheslav Tikhonov seismic vessel. The planned acquisition program comprises 474,442 acres (1,920 square kilometers) of 3D data, sufficient to cover both licenses. The survey is now 28 percent complete.

Melrose Pinpoints New Prospect in Galata Block

Jul 16, 2012 – Melrose Resources has acquired 3D data over the central area of the offshore Galata Block and interpretation has confirmed the presence of a number of potential reservoir structures. A revised prospect inventory has been compiled and audited by the company’s independent reserves assessors. The company said that seven structures have been identified in the area with a total combined unrisked P50 resource estimate of 125 Bcf. The highest ranked prospect is called Kamchia, which has an estimated P50 prospective resource of 27 Bcf and a chance of success of 40 percent. Preparations are underway to drill the well in 2013 as part of a multi-well rig program. The program will also include the completion of the Kavarna East discovery and two exploration wells in Romania. In the event of a discovery at the Kamchia prospect, the prospect would be developed as a subsea tie-back to the Galata field production platform.

Project Details: Galata Area

MidEast – Persian Gulf

DNO Completes Drilling of West Burkha-5 Well in Oman

Jul 18, 2012 – DNO International has completed the drilling of the West Bukha-5 well in Block 8 and is preparing to resume operations at the West Bukha-4 well, whose top-hole section was previously drilled. Results from the initial flow test of West Bukha-5 confirm the presence of oil in the Thamama reservoir, with an estimated flow capacity of 1,500-2,000 barrels per day. Samples and measurements taken during the initial test flow period indicate an oil gravity of 35-degree API and a gas-to-oil ratio of 5,000 standard cubic feet/barrel. The well will be put on production this summer once normal offshore pipeline operations resume. West Bukha-5 is the first of a three-well development drilling campaign in Block 8. Drilled to a total depth of 17,060 feet (5,1200 meters), including a 3,000-feet (914-meter) horizontal section with good fracture indications, West Bukha-5 is the deepest well yet for the company in Oman.

Project Details: Block 8

Recap: Worldwide Field Development News Jul 6 – Jul 12, 2012

This week the SubseaIQ team added 1 new projects and updated 20 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 GOM

Noble Decides Not to Appraise Deep Blue

Jul 11, 2012 – Noble Energy reported that appraisal drilling will not occur at its Deep Blue prospect at this time. Although hydrocarbons were found in both the initial exploration well and subsequent sidetrack, the company and its partners have decided not to proceed with additional appraisal activities right now. The Deep Blue well was originally spud late 2009 and sidetrack operations were underway when the moratorium was announced. Noble Energy was required to suspend operations and the rig working at that time was released. After the moratorium was lifted, another rig was certified under new regulatory requirements to finish the sidetrack.

Project Details: Deep Blue

Expro to Provide Subsea Trees for Who Dat Development

Jul 10, 2012 – LLOG granted Expro a contract for the Who Dat development in the Gulf of Mexico. The company will provide subsea test trees for the project on Mississippi Canyon Block 547.

Project Details: Who Dat

ATP Announces Completion of MC 941 A-2 Telemark Well

Jul 9, 2012 – ATP has completed a workover at its Mississippi Canyon Block 941 A-2 well located in the Mirage field at the Telemark Hub. The well was completed with 3-1/2 inch tubing at a measured depth of 17,140 to 17,401 feet (5,224 to 5,304 meters) to add the Miocene B sand completion to the wellbore for field development optimization. Initial test flow rates are at 4,000 barrels equivalent per day (boepd) of which 90 percent is oil. The A-2 well will be tied-back to the facility and is expected to produce at a rate of 4,000 to 5,000 boepd. The MC 941 A-2 well produces through the ATP Titan floating drilling and production platform.

Project Details: Telemark

S. America – Other & Carib.

Premier Farms Into Falkland Licenses

Jul 12, 2012 – Premier Oil has agreed to pay an initial $231 million to farm into Rockhopper Exploration‘s license interests in the Falkland Islands in the South Atlantic. Premier Oil will acquire a 60 percent interest in the licenses, with the deal including a provision for Premier to pay an additional $48 million for further exploration within the license areas and an additional $722 million to develop reserves found there (subject to the approval of a field development plan).

Project Details: Sea Lion

Europe – North Sea

Technip Inks Aasta Hansteen Platform Deal

Jul 12, 2012 – Statoil awarded Technip a letter of intent to construct a hull of a spar platform on the Aasta Hansteen field. The platform will be the world’s largest Spar platform and the first of its kind on the Norwegian continental shelf. Total recoverable reserves for Aasta Hansteen, previously called Luva, are preliminary estimated at about 47 Bcm of gas and .8 Bcm of condensate. The platform, the first spar with storage capacity, will have the capability to store about 25,000 square cubic meters of condensate and export gas via the Norwegian Sea Gas infrastructure. The supplier will also design and prepare specifications for steel rigid risers and a complete mooring system. Part of the work will begin in the middle of August, with completion of deliveries set for mid-December 2015. This letter of intent will contribute to securing the overall progress plan for Aasta Hansteen. The investment decision is expected in late 2012/early 2013, with production start-up at the end of 2016.

Project Details: Aasta Hansteen (Luva)

Bentley Pre-Production Flow Test Performs Well

Jul 12, 2012 – Xcite Energy reported that pre-production flow test on the Bentley field is progressing well with the planned shut-in period and pressure build-up test commencing on July 11 following the initial, successful, clean-up and first oil flow on July 9. This planned shut-in period and pressure build- up test is designed to obtain key information about the Bentley reservoir and the mobility of its fluid for use in interpreting the subsequent flow data and for planning the next step of the Bentley field development.

Project Details: Bentley

Talisman Evacuates Personnel from Yme Platform

Jul 11, 2012 – Talisman Energy has evacuated construction personnel from the Yme oil platform in the Norwegian sector of the North Sea after structural issues were discovered. The operator removed 140 workers from the Yme platform late Tuesday after finding weaknesses in the platform’s supporting structure. Dow Jones reported that in May the company took a $250 million write down on the project and delayed production for an unspecified amount of time. It also said the standards to which the platform had been built had fallen behind Norwegian standards. Oil production was scheduled to start next year.

Project Details: Yme

Ithaca Spins Bit at Hurricane Appraisal

Jul 10, 2012 – Ithaca Energy has commenced exploratory drilling on the Hurricane appraisal well in Block 29/10b, which lies within the Greater Stella area in the UK sector of the North Sea. The well is being drilled by the WilHunter (mid-water semisub). Drilling should take between 75 to 85 days to complete, including the performance of a drill stem test. The Hurricane discovery well, 29/10-4z, was drilled by Shell in 1995. The well encountered 41 degrees API light oil in Eocene Rogaland sands in the western lobe of the structure. The appraisal well will be drilled to the base of the Tertiary section in the eastern lobe of the mapped structure and is designed to satisfy three primary objectives: to confirm the nature and volume of recoverable hydrocarbons; calibrate the hydrocarbon contact with seismic amplitude; and verify the distribution, quality and connectivity of the reservoir. Upon successful completion of the appraisal well objectives, the wellbore will be suspended for future re-entry and completion as a production well.

Project Details: Stella/Harrier

WGP Completes LoFS on Valhall

Jul 10, 2012 – WGP has completed the 15th Life of Field Seismic (LoFS) survey over the Valhall field in the North Sea for BP. The company acquired the full data set of 2,552 kilometers in six weeks, which included time for mobilization and demobilization. This data will help enhance the life of the Valhall field, stated the company.

Project Details: Valhall

Barryroe Discovery Could be Larger than Anticipated

Jul 9, 2012 – Providence Resources might be sitting on more than one billion barrels of oil in place at its Barryroe discovery, according to a research report issued by oil analysts at London-based Liberum Capital. The research note stated that Liberum estimates Barryroe could contain around one billion barrels of oil in place and more than 160 million barrels of recoverable oil based on technical disclosures concerning the Barryroe well made by Providence. These figures are around three times what investors in Providence are expecting from Barryroe, according to Liberum.

Project Details: Barryroe

Xcite Energy Signs Loan Deal for Bentley Phase 2 Development

Jul 9, 2012 – Xcite Energy has signed a five-year, $155 million loan agreement with a group of lending institutions, secured against oil reserves, which will provide funding for Phase 1B development of its Bentley heavy oil field. The loan facility is subject to certain conditions and the achievement of targets in the Bentley Phase 1A development work program, including the drilling of a well and a flow test.

Project Details: Bentley

PSA Audits Statoil’s Compliance During Module Construction for Gudrun

Jul 6, 2012 – The Petroleum Safety Authority Norway (PSA) conducted an audit of Statoil’s compliance with regulatory requirements during engineering and construction of the wellhead and process modules for the Gudrun facility. The audits were conducted in Asker from May 8-9, 2012 and on the construction site in Thailand from May 14-16, 2012 and focused on electrical systems, instrumentation and technical safety disciplines.
The objective of the audit was to ensure Statoil’s compliance with requirements to establish and implement technical and operational barriers. Special emphasis was placed on how Statoil and its partner Aibel, promotes the understanding of interactions between operator, development project, suppliers and operations preparations. Two nonconformities were identified in relation to the system for electrical power supply and for establishment of barrier performance requirements. Improvements were suggested for flame detection and the command structure in the emergency shutdown system.

Project Details: Sleipner Area

BP Receives Go Ahead for Use of Safe Scandinavia on Valhall

Jul 6, 2012 – BP Norge AS (BP) received approval from Norway’s Petroleum Safety Authority (PSA) to use the Safe Scandinavia facility as a flotel on the Valhall field from July 1, 2012 to January 1, 2013. Aker Verdal’s Safe Scandinavia was built in 1984 and has been contracted for the Valhall field numerous times with the last contract expiring in March 2012. The 583-bed facility received the PSA’s Acknowledgement of Compliance in April 2007.

Project Details: Valhall

Asia – SouthEast

Lundin Begins Malaysian Drilling Campaign

Jul 10, 2012 – Lundin Petroleum has commenced its 2012 Malaysian drilling campaign with the spud of the Tiga Papan 5 well in the SB307 & SB308 Blocks offshore Sabah, East Malaysia. The well will target mid-Miocene aged sands of the Tiga Papan unit previously tested (in 1982) with the original discovery well that flowed at a cumulative rate of 5,631 bopd. A vertical well will test the un-appraised fault block to the east of the original Tiga Papan 1 discovery well. In the event of a discovery, the well will be sidetracked into the same fault block as the original discovery well to test the down dip extension of the pay zones previously encountered. The well will be drilled with the Offshore Courageous (350′ ILC) in a water depth of approximately 164 feet (50 meters) to a depth of 5,482 feet (1,671 meters). The well is the first of the five-well program planned in 2012 by Lundin Malaysia BV.

PTTEP: Oil Production at TGT to Hit 55,000 BPD

Jul 9, 2012 – PTTEP reported that oil production from the offshore Vietnam 16-1 project will hit 55,000 bopd by the fourth quarter of this year due to the successful installation of a second wellhead platform. Oil production at the Te Giac Trang (TGT) field, where the newly installed wellhead is sited, is currently at 41,000 bpd. The TGT field is located off the southern coast of Vietnam, 62 miles (100 kilometers) from Vung Tau province. The project consists of a floating, production, storage, and offloading unit, two wellhead platforms and a subsea pipeline system. The development came online in August 2011.

Project Details: Te Giac Trang (White Rhinoceros)

N. America – US Alaska

BP Shelves Liberty Oil Project Offshore Alaska

Jul 11, 2012 – BP is shelving its Liberty project in Alaska after deciding that the current development plan is not up to the stricter standards the company has enforced, reported Dow Jones. The oil project was anticipated to produce about 40,000 bopd. The company stated it is working with regulators to discuss potential ways to move the project forward.

Project Details: Liberty

Africa – West

Exxon Starts Production from Clochas Mavacola Oil Project

Jul 9, 2012 – ExxonMobil has commenced production at the Kizomba Satellites Phase 1 project offshore Angola, and is expected to produce 100,000 bopd from two large deepwater fields, Mavacola and Clochas. The initial phase of the Kizomba Satellites project ties 18 new wells to production facilities already in use tapping other oil fields in the Block 15 area.

Project Details: Kizomba, Block 15

S. America – Brazil

Total Acquires Xerelete Field

Jul 10, 2012 – Total became operator of the offshore Xerelete concession, located around 155 miles (250 kilometers) off the coast of Rio de Janeiro. The oil field, discovered in 2001, contains relatively heavy oil. A pre-salt prospect has also been identified below the Xerelete structure, which lies around 25 miles (40 kilometers) west of the recently announced Pao de Acucar discovery. Total plans to start drilling activities in 2013. Total and Petrobras each hold a 41.2% interest in the concession, while BP holds the remaining 17.6 %.

Vanco Spuds Sabia

Jul 9, 2012 – Vanco has spud the Sabia well in the BM-S-72 block in the southern Santos Basin offshore Brazil. The well is being drilled by the GSF Arctic I (mid-water semisub). The Sabia well is located offshore approximately 143 miles (230 kilometers) south of the city of Santos in a water depth of approximately 656 feet (200 meters). The well will be vertically drilled with a target depth of 14,718 feet (4,486 meters). The primary reservoir target for this well is post-salt sandstones of the Itajai-Acu formation, expected to be encountered at around 12,139 feet (3,700 meters) below mean sea level. The prospect is also targeting secondary sandstone in the Ilha Bela member of the Jureia formation. Drilling operations should take about two to three months, and after finishing this well the rig will drill the Canario prospect (BM-S-63) and the Jandaia prospect (BM-S-71).

Project Details: Sabia

Mediterranean

Noble Energy to Flow Test Pinnacles Reservoir

Jul 10, 2012 – Noble Energy has completed an extensive test of the Pinnacles 1 well and its production facilities. The operator will now flow test the Pinnacles reservoir, during which the gas composition and gas treatment measures will be tested. Flow tests are expected to begin in the near future and last for several days.

Delek Updates Tanin’s Contingent Resources

Jul 10, 2012 – Delek Group has reported details on the Tanin reservoir, specifically, 81 percent of the high estimate of Tanin’s contingent resources is within the Alon A licenses, and that the rest is within the Alon B and Amit licenses. The low and best estimates are wholly within the Alon A license, stated Netherland Sewell & Associates. NSAI contingent estimates for Tanin are as follows: low estimate of 160 billion cubic feet (Bcf); best estimate of 592 Bcf, and a high estimate of 1,035 Bcf. The prospective estimates are: low estimate of 359 Bcf; best estimate of 471 Bcf, and a high estimate of 607 Bcf. The best estimate for Tanin’s proven and contingent reserves makes it the third largest natural gas discovery after Delek and Noble Energy’s Tamar and Leviathan discoveries of 9.7 trillion cubic feet and 17 trillion cubic feet, respectively.

Project Details: Tanin

Australia

Total Increases Ichthys Stake

Jul 12, 2012 – Total has increased its stake in the Ichthys LNG project to 30 percent through the acquisition of a further 6 percent interest from its partner INPEX. Total commented that the acquisition will not have an impact on any of the LNG offtake agreements that have been arranged.

Project Details: Ichthys

Technip Wins $61M Subsea Contract for Balnaves Field Development

Jul 10, 2012 – Apache Energy awarded Technip a subsea installation contract worth around $61 million for the Balnaves oil field development. The project is situated in a water depth of about 442 feet (135 meters). The contract covers the project management, design, engineering and installation of 4.3 miles (7 kilometers) of flexible flowlines and risers and 1.9 miles (3 kilometers) of umbilicals. It also includes the transportation and installation of the subsea equipment including the manifolds, spools, flying leads, jumpers and a mooring system and riser column. First production from the $438-million development is scheduled in 2014, with gross peak production of approximately 30,000 barrels of oil per day and estimated gross recoverable resource of 17 million barrels of oil and 30 billion cubic feet of gas.

Project Details: Balnaves

Recap: Worldwide Field Development News (Jun 22 – Jun 28, 2012)

Maersk-Bags-Gulf-of-Mexico-Contract-for-its-Under-Construction-Drillship

This week the SubseaIQ team added 4 new projects and updated 29 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

BP Sells Alba Stake to Mitsui

Jun 27, 2012 – BP is selling its interests in the Alba and Britannia fields in the UK sector of the North Sea to Mitsui & Co. for $280 million. Net BP production from the two fields averages some 7,000 barrels of oil per day. The sale comprises BP’s 13.3-percent stake in Alba and 8.97-percent stake in Britannia. Completion of the deal is anticipated by the end of 3Q 2012, subject to regulatory and other licensee approvals.

Project Details: Alba

Statoil Explores Brugdan Prospect

Jun 27, 2012 – Statoil has commenced exploratory drilling at its Brugdan prospect in License 006, Block 6104/21, in the Faroe Islands. The operator is using the COSLPioneer (mid-water semisub) to drill the well. Statoil expects drilling operations to take four to five months.

Project Details: Brugdan

Agora O&G Farms-In to Geite Prospect

Jun 27, 2012 – Bridge Energy has executed an agreement with Agora Oil & Gas for the farm-down of a 15-percent working interest in Production Licenses 497 and 497B. After the transaction Bridge Energy will hold a 15-percent working interest in the two licenses. Cairn will, as a consideration for the transaction, carry a substantial share of Bridge Energy’s well cost. Geite, the main prospect in the licenses is scheduled for drilling in 3Q 2012.

Project Details: Geite

Noreco Increases its Interest in Maja License

Jun 27, 2012 – Noreco has increased its interest in the Maja License (9/95) on the Danish Continental Shelf from 12 to 16.4 percent, and the license period has been extended for two years. The license contains part of the Gita discovery which was made in 2009. A new exploration well is now being planned in the license. The increase in ownership takes place at no charge, following a partner’s withdrawal from the license. Operator for the Maja license is Maersk Oil with 42.6 percent interest. Other partners are DONG Energy with 27.3 percent interest and Danoil with 13.7 percent interest.

Project Details: Gita

Aker Solutions Awarded Frame Agreement Contract for Norwegian Fields

Jun 27, 2012 – ExxonMobil awarded Aker Solutions a frame agreement for fields located on the Norwegian Continental Shelf. The frame agreement covers engineering, procurement, construction and installation of several fields, including Balder, Jotun A, Jotun B and Ringhorne. The fixed contract duration is five years from 2012 to 2017, with options for two additional five year periods. The frame agreement will be managed from Stavanger.

Project Details: Jette (Jetta)

Technip to Install Subsea Equipment for Alma/Galia Development

Jun 25, 2012 – EnQuest Britain awarded Technip a contract for the development of the Alma and Galia fields in the UK sector of the North Sea. The scope of work includes installation of two 10-inch production flexible flowlines, one 8-inch water injection flexible flowline and one further 8-inch production flexible flowline; installation of three 8-inch flexible risers; installation of two production control umbilicals/risers; installation of four power cables and associated dynamic risers; procurement, fabrication and installation of a 175-ton manifold structure; and associated trenching operations, tie-ins, testing and commissioning. The fields will be tied-back to the EnQuest Producer FPSO, which are located in a water depth of about 262 feet (80 meters).

Project Details: Alma/Galia

Premier to P&A Coaster Prospect

Jun 25, 2012 – Premier Oil will plug and abandon the Coaster exploration well at UK Block 28/10 as a dry hole. The operator commenced exploratory drilling in the beginning of June.

Project Details: Coaster

PA Resources Wins Contract Extension

Jun 25, 2012 – The Danish Energy Agency has extended PA Resources Licenses 12/06 and 9/06 by two years. License 12/06 is operated by the company with a 64% interest; and license 9/06 is operated by Maersk, wherein the company has a 26.8% stake. The 12/06 permit contains last year’s Broder Tuck gas/condensate and Lille John oil discoveries. PAR plans to drill an appraisal well at Lille John and is negotiating a drilling management contract. In 2009, the Gita 1X-well in license 9/06 encountered indications of hydrocarbons in the Middle Jurassic high-pressure/high-temperature (HP/HT) secondary target, but with low permeability. Subsequent studies have not lowered the producibility risk. There is no well commitment but a decision regarding drilling must be made by October 2013. In the meantime, further subsurface studies will be performed to evaluate prospectivity at Upper Jurassic and shallower Cretaceous and Tertiary levels.

Project Details: Lille John

Apache Reports Tryfan is Sub-Commercial

Jun 25, 2012 – Valiant Petroleum has completed drilling at the Tryfan prospect in UK Block 3/17. The well encountered both Frigg and Dornoch sandstones on prognosis with a small gas column present at the top of the Frigg formation interpreted to be sub-commercial. The well will now be plugged and abandoned.

Project Details: Tryfan

Hertel Offshore Signs EPC Contract for Draugen Platform

Jun 22, 2012 – Hertel Offshore has signed a contract for the EPC delivery of the Shell Draugen Additional Living Quarter, which will accommodate 44 people and will be designed according to the Norsok standards. Work has commenced and delivery of the module is scheduled for May 2013. Construction will be done at the Hertel Offshore premises in Rotterdam, The Netherlands.

Project Details: Draugen

S. America – Brazil

InterMoor Completes Conductor Fabrication, Installation Proj. for Shell

Jun 27, 2012 – InterMoor has completed the installation of the electrical submersible pump conductors for the artificial lift manifold as part of the Shell BC-10 phase two project. InterMoor was responsible for the fabrication and installation of four conductors in addition to one spare conductor for the project. Weighing in at more than 70 metric tons, the conductors measured 48 inches in diameter and 197 feet (60 meters) long with a 1.5-inch wall. The conductors were installed in water depths up to 5,600 feet (1,707 meters) off the coast of Brazil in the northern Campos Basin.

Project Details: Parque das Conchas (BC-10)

Australia

BHP Billiton Encounters Water at Banambu Deep Prospect

Jun 28, 2012 – BHP Billiton will plug and abandon the Banambu Deep-1 well as wire-line logs show that the well is water-bearing. The well, located in permit WA-389-P, lies in waters 1,050 feet (320 meters) deep. The well was drilled to 15,470 feet (4,696 meters) measured depth (mMD) on June 26, 2012, within the Mungaroo Formation.

Project Details: Banambu Deep

ConocoPhillips Set to Spud Boreas-1

Jun 28, 2012 – ConocoPhillips is moving forward with drilling of the Boreas-1 exploratory well in WA-314-P following the final function testing of the blowout preventers for the semisub Transocean Legend (mid-water semisub). The BOPs and marine riser were run to the sea floor, and after function testing, were pulled from the hole for further repair and maintenance. After passing all checks on the surface, they have been re-run to the seafloor for final subsea function testing. The company will drill the second well in the program, Zephyros-1, in permit WA-398-P approximately 4.9 miles (8 kilometers) southwest of the Kronos-1 discovery location. The third well, Proteus-1, will be drilled in WA-398-P approximately 8.6 miles (14 kilometers) southeast of the Poseidon-1 discovery location.

Project Details: Boreas

Apache Ready to Drill Balnaves Deep-2 Prospect

Jun 27, 2012 – Apache is ready to spud its Balnaves Deep-2 prospect offshore Australia, but is waiting on approval from the Australian government to move forward. The operator will use the Atwood Falcon (DW semisub) for drilling operations.

Project Details: Balnaves

Technip Pens Ichthys FPSO Services Contract

Jun 22, 2012 – Technip received a contract to provide services to the Ichthys FPSO, which will be located in the Browse Basin, Western Australia, at a water depth of 820 feet (250 meters). Under the agreement, Technip will provide engineering and procurement assistance for the topside facilities of the 1.2 million barrels storage capacity FPSO to South Korea’s Daewoo Shipbuilding & Marine Engineering. The Ichthys LNG project is expected to produce 8.4 million tonnes of LNG, 1.6 million tonnes of liquefied petroleum gas and 100,000 barrels of condensate.

Project Details: Ichthys

Nexus Energy Eradicating Longtom Producton Problem

Jun 22, 2012 – Nexus Energy Limited announced that the vessel to inspect and potentially rectify the electrical fault that caused the suspension of production on the Longtom field has arrived. Initial inspections have identified the fault to be contained within a specific section of the offshore system, which has enabled an engineering solution to be developed with implementation and associated production expected by month end. Given the mobilization of the specialized vessel, the opportunity is being taken to expand the inspection program to include additional sections of the offshore system, stated the company.

Project Details: Longtom

S. America – Other & Carib.

Edison Farms-In to Falkland Acreage

Jun 27, 2012 – Falkland Oil and Gas has executed a farm-out agreement with Edison International in relation to its licenses in the Falkland Islands. Edison will farm-in and earn a 25 percent interest in FOGL’s northern area license, which contains the Loligo prospect, in return for which it will contribute a pro-rate share of the costs of the 2012 drilling program – comprising two exploration wells. Edison will also farm-in and earn a 12.5 percent interest in FOGL’s southern area license, containing the Undine prospect, and will contribute to the 2012 work program. Meanwhile, Edison has agreed to pay its pro-rate share of certain historical costs incurred by FOGL during 2011 related to the 2012 drilling program. Edison’s share of these costs is expected to be around $50 million. FOGL expects to receive the Leiv Eiriksson (UDW semisub) in July to commence the drilling program.

Mediterranean

Eni Turns on Taps at Seth Field

Jun 28, 2012 – Eni has commenced gas production from the Seth field off the coast of Egypt. The field is expected to produce about 4.8 MMcm/d. The Seth project consists of a platform placed at a water depth of 262 feet (80 meters), two production wells and a pipeline of 6.8 miles (11 kilometers). The pipeline links the platform to the onshore processing facility in El Gamil.

Noa North Comes Online

Jun 27, 2012 – Noble Energy has begun gas flow from the Noa North field in the Mediterranean. The field was completed as a subsea tie-back to the Mari-B platform. Mari-B is the first offshore natural gas production facility in the State of Israel. Noble Energy is the operator of the project with a 47.059 percent working interest.

KBR to Execute Pre-FEED Study for Tamar Field

Jun 27, 2012 – KBR will execute a pre-FEED study for a project located off the coast of Israel. KBR will provide the pre-FEED study for the King liquefied natural gas-floating production storage and offloading (LNG-FPSO) facility currently being evaluated for Noble Energy’s Tamar gas field off the coast of Israel.

Project Details: Tamar

Africa – West

Rialto Awards FEED Contract to Petrofrac

Jun 27, 2012 – Rialto Energy has awarded Petrofrac a Front End Engineering Design (FEED) contract for Block CI-202, containing the Gazelle field, offshore Cote d’Ivoire. Work is scheduled for completion in October. Rialto is working to fast track first hydrocarbons. It expects to award further contracts before the end of this year. The field development plan and gas agreement has been approved by the Cote d’Ivoire authorities and the production facilities will consist of a fixed production platform at the Gazelle field with separate oil and gas pipelines from the platform to shore.

Project Details: Gazelle

BP Gets Govt Nod to Namibia Farm-In

Jun 25, 2012 – Namibia’s Minister of Mines and Energy has approved BP’s farm-in of 30 percent to Serica Energy’s offshore Luderitz basin license 0047. The agreement was first announced in March. BP will cover the entire cost of a 3D seismic survey over an area of up to 1.025 million acres (4,150 square kilometers) across the concession. Participants in the block are now Serica Energy (55%); BP (30%); National Petroleum Corp. of Namibia (10%); and Indigenous Energy (5%).

Asia – SouthEast

Otto Granted Extension to Explore Offshore Philippines Block

Jun 27, 2012 – Otto Energy reported that the Philippines Department of Energy has granted a nine-month extension to the third exploration sub-phase of Service Contract 69 in the offshore Visayan Basin. The extension will give the consortium additional time to evaluate three potential targets on the block – Lampos, Lampos South and Managau East. Otto said it will use the extension period to start planning for an exploration well.

Salamander to Conduct DST on Far East Prospect

Jun 27, 2012 – Salamander Energy reported that the Far East prospect on the Bualuang field in License B8/38 in the Gulf of Thailand has reached a total vertical depth of 4,580 feet (1,396 meters) and is currently being prepared for a Drill Stem test. The well encountered an 82 foot (25 meter) section of excellent quality T5 Miocene sandstones, the primary target on depth prognosis. However, following the acquisition of a full suite of wireline logs, these sandstones are interpreted to be water-wet, with no evidence of hydrocarbon saturation. The well was then deepened to test the secondary objective. The well penetrated a conglomeratic section overlying the Ratburi carbonates from 4,423 feet (1,348 meters) TVDSS to current total depth (“TD”). Oil shows were observed at 4,482 feet (1,366 meters) TVDSS and severe mud losses were experienced from 4,495 feet (1,370 meters) TVDSS. Interpretation of logging while drilling data shows zones of potential oil pay in highly porous section from 4,478 feet (1,365 meters) to current TD.

Project Details: Bualuang

Recap: Worldwide Field Development News (Jun 15 – Jun 21, 2012)

This week the SubseaIQ team added 3 new projects and updated 30 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.

Africa – West

Rialto Recovers Oil, Gas in Gazelle-P3 Well

Jun 21, 2012 – Rialto Energy reported that it has encountered high gas readings and recovered oil and gas samples from the sidetrack of its Gazelle-P3 well. Wireline logs have been taken while further logging with vertical seismic profile and sidewall coring are continuing with completion expected in the next three days. Rialto said the oil and gas samples were recovered from the Upper Cenomanian sands as expected while the gas readings were noted in the Lower Cenomanian. The samples will also be used to assist in the design of the Gazelle field development processing facilities.

Project Details: Gazelle

S. America – Other & Carib.

Chevron Enters Suriname Acreage

Jun 20, 2012 – Kosmos Energy has entered into an agreement with Chevron under which Kosmos will assign half of its interest in Blocks 42 and 45, offshore Suriname, to Chevron. Under the agreement, Kosmos will have a 50 percent working interest and remain operator of both blocks until the end of the exploration phase. Chevron will assume the remaining 50 percent working interest and will become development operator of any commercial discoveries. Blocks 42 and 45 cover an area of about 2.8 million gross acres in water depths ranging between 650 to 8,500 feet (200 and 2,600 meters). First drilling is targeted for 2014.

Asia – SouthEast

Salamander Spuds Bualuang Far East-1 Well

Jun 18, 2012 – Salamander Energy has spud the Bualuang Far East-1 exploration well in Block B8/38, Gulf of Thailand. The Bualuang Far East prospect is located approximately four miles (six kilometers) to the northeast of the Bualuang oil field. The Far East-1 well will be drilled to a total vertical depth of 4,765 feet (1,452 meters) subsea. The primary target is the T5 Miocene sandstones with secondary targets comprising an underlying Permian-age Ratburi carbonate and a T4 Miocene sandstone stratigraphic trap. The main T5 objective has potential mean recoverable resources of 20 million barrels of oil. The well will be drilled by the ENSCO 53 (300??? ILC) jackup and is expected to take about 20 days to complete.

Project Details: Bualuang

Australia

Chevron Sells Interest in Wheatstone to Pan Pacific Energy

Jun 19, 2012 – Chevron has agreed to sell 10-percent participating interest of its Wheatstone field licenses and 8-percent participating interest of its Wheatstone natural gas processing facilities to Japan’s Pan Pacific Energy. Chevron added that Japan’s Tokyo Electric Power Company (Tepco), one of the stakeholders in Japan’s Pan Pacific Energy K.K, has agreed to purchase an additional 0.4 million tons per annum (MTPA) of liquefied natural gas from the Wheatstone Project for up to 20 years. This new agreement brings Tepco’s total LNG offtake to 4.2 MTPA.

Project Details: Wheatstone

Mediterranean

Noble Suspends Pinnacles Gas Flow

Jun 18, 2012 – Noble Energy has suspended gas flow from the Pinnacles No. 1 well offshore Israel. According to partner Delek Group, this is due to an indication of a gas composition that does not match the specification for flow. The operator plans to examine alternative options including gas treatment to allow the resumption of gas flow.

N. America – US GOM

Cobalt Comes Up Dry iat Ligurian

Jun 15, 2012 – The Ligurian No. 2 well has failed to encounter commercial hydrocarbons and will now be plugged and abandoned after reaching a final depth of more than 30,000 feet (9,144 meters). The ENSCO 8503 (UDW semisub) drilled the well to a total depth of 31,800 feet (9,693 meters).

Project Details: Ligurian

Anadarko Gets Nod to Drill in GOM

Jun 15, 2012 – The BOEM recently approved Anadarko’s permit to drill at its Shenandoah prospect in Walker Ridge Block 51. The permit lists the ENSCO 8505 (UDW semisub) as the rig that will perform drilling operations. The Shenandoah well has a proposed depth of 32,000 feet (9,754 meters) and is located in approximately 5,800 feet (1,768 meters) of water.

Project Details: Shenandoah

Europe – North Sea

Ocean Installer Completes Survey, Intervention Work at Balder

Jun 21, 2012 – Ocean Installer has completed a survey and intervention work at the Balder field. The conducted work encompassed inspection and maintenance of the subsea control system at the field. Balder is located on Blocks 25/10 and 25/11 in the Norwegian sector of the North Sea about 118 miles (190 kilometers) west of Stavanger, Norway at a water depth of 410 feet (125 meters).

Project Details: Balder

Providence Pleased with Barryroe’s Core Analysis

Jun 21, 2012 – Providence Resources has completed the core analysis of the reservoir at its Barryroe discovery. The firm said that permeabilities in the basal oil-bearing reservoir interval have exceeded expectations, while good permeabilities have also been confirmed in secondary logged hydrocarbon-bearing sand. The permeabilities in the basal oil-bearing interval confirm the high-productivity nature of this reservoir as observed during well-testing operations, said Providence. The company will provide a revised resource update for Barryroe later this summer.

Project Details: Barryroe

Technip to Construct Subsea System for Boyla Development

Jun 20, 2012 – Technip won a contract for the development of the Boyla field in the Norwegian sector of the North Sea. The $381 million deal with Marathon covers all activities necessary to complete the construction of the subsea system for the field development and connect it to the existing Alvheim subsea facilities. Offshore construction will take place in 2014. The field is to be developed as a subsea tie-back to the Alvheim FPSO, with two production wells and a water injection well. The Boyla field is estimated to hold reserves of 23 million barrels of oil equivalent.

Project Details: Alvheim

Valemon Jacket Delivered and Installed

Jun 19, 2012 – Statoil reported that the Valemon jacket was successfully delivered and installed on the field, which lies in the Norwegian sector of the North Sea. The 9,000-ton steel jacket was carried out as planned and the project remains on schedule. The jacket, which was built by Heerema Fabrication Group in Vlissingen in the Netherlands, was transported from the shipyard and out to the field by the crane barge Thialf. Development of Valemon involves a fixed platform with a steel jacket for the separation of gas, condensate and water. The rich gas will be transported via a new pipeline to the existing pipeline from Huldra to Heimdal for further processing. The condensate will be piped to the Kvitebj??rn platform for stabilization and further transport via the Troll oil pipeline to the Mongstad refinery. At peak production, Valemon is expected to deliver roughly 86,000 barrels of oil equivalent per day. The field is expected to come on stream in the fourth quarter of 2014 and has a life expectancy of 11 years.

Project Details: Valemon

North Sea Buzzard Oil Field to Shut Down for 4 Weeks

Jun 15, 2012 – Nexen reported that the Buzzard oil field will have an extended four-week shutdown in the third quarter for the field’s five-year regulatory inspection. The company did not specify when the shut-down will likely occur. Buzzard produces about 200,000 bopd and is the largest oil field that contributes to Forties crude.

Project Details: Buzzard

Statoil Submits PDO for Svalin

Jun 15, 2012 – Statoil has submitted a plan for development and operation for the Svalin field to the Norwegian government and reported it expects to bring the field online in 2013. Recoverable reserves at the field are estimated at around 75 million barrels of oil equivalent, with two structures Svalin C and Svalin M containing similar quantities. The Svalin C and Svalin M discoveries will be developed through a ‘fast-track’ method that uses a standard solution involving processing by existing infrastructure. The Svalin development will be tied-back to the Grane platform. Svalin M will be produced by a well drilled from the Grane platform, while Svalin C will be a subsea development connected via a four-mile long flowline to the Grane platform. The hydrocarbons will utilize shared processing and export facilities. The gas compression facility at the Grane platform will be modified to handle gas from Svalin. Oil from the Svalin development will be transported, along with production from the Grane field, through the existing pipelines for storage and shipment from the oil terminal at Sture.

Project Details: Svalin

Shell Contracts FPSO for Fram Field

Jun 15, 2012 – Shell sent SBM Offshore a letter of interim award (LOIA) for the supply, lease and operation of a FPSO for the Fram field in the UK sector of the North Sea. The LOIA allows SBM Offshore to commence engineering and procurement of long lead items to ensure timely completion of the planned Fram FPSO project, which is subject to a Final Investment Decision. In March 2012, Shell and SBM Offshore signed an Enterprise Framework Agreement (EFA) covering a term of five years, with an option to extend for another five years. The Fram FPSO, subject to a Final Investment Decision, will be the first project to be developed under the terms of the EFA. The hull of the FPSO will be based on a converted Aframax tanker and will incorporate an internal turret permanent mooring system. The crude will be offloaded to shuttle tankers and the gas exported via the existing Fulmar pipeline.

Project Details: Troll Area

N. America – Canadian Atlantic

Statoil Confirms Mizzen Discovery Holds Large Amounts of Oil

Jun 21, 2012 – Statoil has confirmed that it has found between 100 and 200 million barrels of recoverable oil at its Mizzen deepwater prospect offshore Newfoundland. The company stated it is now assessing the discovery to determine how and when it can be economically developed. Statoil discovered oil in 2009 while drilling Mizzen O-16 and appraised the find in late 2011. Statoil plans to drill two new wildcat wells in the area by the end of next year, and potentially additional wells in 2014 and beyond. Mizzen is situated roughly 311 miles (500 kilometers) east of St. John’s in 3,609 feet (1,100 meters) of water.

Project Details: Mizzen

Recap: Worldwide Field Development News (Jun 8 – Jun 14, 2012)

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

This week the SubseaIQ team added 1 new projects and updated 25 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.

Asia – SouthEast
Salamander Enters Rig Sharing Agreement
Jun 14, 2012 – Salamander Energy has entered into a rig sharing agreement for use of the Ocean General (mid-water semisub) to begin its exploration drilling campaign in the North Kutei basin, East Kalimantan, Indonesia. The rig will be on contract starting July 1, 2012. The company has committed to drill the South Kecapi, South Kecapi side-track, North Kendang and Bedug prospects and has an additional four-option well slots under the contract to allow follow up drilling in the event of a success. The prospects are located in the Bontang and SE Sangatta PSCs. It is estimated that drilling in the company’s North Kutei acreage will commence in the fourth quarter 2012.
Exploratory Drilling Commences at Ratnadewi Prospect
Jun 12, 2012 – Niko Resources reported that drilling has commenced at the Ratnadewi-1 prospect in the Lhokseumawe Block using the Hercules 208 (MC jackup). The prospect is situated offshore Indonesia.
Niko to Explore Lebah Prospect in August
Jun 12, 2012 – The Discoverer Seven Seas (DW drillship) is slated to commence drilling at the Lebah prospect in the North Ganal block offshore Indonesia in August.
AWE to P&A Atlas-1 Well
Jun 12, 2012 – AWE will plug and abandon its Atlas-1 well due to a high percentage of carbon dioxide. AWE was targeting a carbonate reservoir sequence that, together with the nearby Lengo gas discovery, was thought might contain up to one trillion cubic feet of recoverable gas. On June 7, 2012 AWE announced that it had drilled the well to 2,011 feet (613 meters), and that indications of both methane and carbon dioxide had been detected within the upper part of the Kujung carbonate reservoir section.
Project Details: Atlas
Mediterranean
Adira Energy, Noble International Accept LOA
Jun 13, 2012 – Adira Energy reported that Noble International has accepted a Letter of Award, which will enable Modiin Energy to execute a detailed drilling contract on behalf of the Gabriella consortium partners, including Adira and Brownstone Energy. Adira has signed a Memorandum of Understanding with Modiin Energy authorizing Modiin Energy to enter into a drilling contract with Noble Drilling and/or any of its affiliates to drill the Gabriella License prior to the revised spud date of June 30, 2013. To the extent possible, representatives of Adira shall participate in the negotiations with Noble Drilling regarding the Agreement. The consortium will now finalize the agreement to secure the Noble Homer Farrington (mid-water semisub) for a minimum of 75 days for a program that is expected to include one well plus sidetrack. Effective once the agreement has been signed, Adira grants Modiin Energy an irrevocable option to purchase from Adira a 15 percent participating interest in the Yitzhak License.
Project Details: Gabriella
Adira Energy Granted Gabriella, Yitzhak License Extensions
Jun 12, 2012 – Adira Energy announced that the Ministry of Energy and Water of the State of Israel has granted an extension of the dates for the execution of a drilling contract and the spudding of the first well at the offshore Gabriella and Yitzhak licenses. For the Gabriella license, the new contract execution date is Sept. 1, 2012; submission of an environmental study is now slated for July 20, 2012; and the new spud date is June 30, 2013. For the Yitzhak license, the new contract execution date is Sept. 1, 2012; submission of an environmental study is Sept. 1, 2012; and the new spud date is Oct. 30, 2013. The submission date of the Environmental Study was moved forward, and Adira management believes that they will be met by the deadline.
Project Details: Gabriella
N. America – US GOM
Petrobras Detects Small Leak of Hydraulic Fluid at Chinook
Jun 13, 2012 – Petrobras reported that a “small leak” of hydraulic fluid was detected during commissioning of a submarine system Sunday at its Chinook field in the GOM. Petrobras did not disclose the volume of the fluid that leaked. The company has notified U.S. officials of the leak, as well as set up an internal commission to evaluate the cause of the incident, reported Dow Jones Newswires. The field is still being developed with first production slated for later this year.
Project Details: The Greater Chinook Area
BP Brings Galapagos Project Online
Jun 12, 2012 – BP has commenced production from the deepwater three-field Galapagos development –Isabela, Santiago and Santa Cruz ??? in the Gulf of Mexico. The three fields are connected via a flowline loop to the BP-operated Na Kika host platform, situated about 140 miles (225 kilometers) south of New Orleans in 6,500 feet (1,981 meters) of water. Production is slated to ramp up by the end of the month from the Na Kika facility, which has an output capacity of 130,000 bopd and has been modified to handle additional output from the fields.
Project Details: Na Kika
ATP Resumes Production at Telemark Hub
Jun 11, 2012 – ATP reported that production at the ATP Titan platform has resumed, which services the company’s Telemark Hub. Production from the ATP Titan, shut-in since May 14, resumed after the operator of the Mars pipeline temporarily shut in the pipeline to allow for the tie-in of a new offsetting platform which has now been completed. Production at the ATP Titan is proceeding as expected and will ramp up over the next few days.
Project Details: Telemark
S. America – Other & Carib.
Niko Spuds Shadow-1
Jun 12, 2012 – Niko Resources has spudded the Shadow-1 well, located on the 2 (ab) Block, offshore Trinidad, using the Rowan Gorilla III (ILC jackup).
Australia
Series of Short-term Production Interruptions Occurs on Processing Facility
Jun 8, 2012 – Nexus Energy reported that a series of short-term production interruptions have occurred due to an intermittent electrical fault at the Patricia-Baleen gas processing facility. Production at the facility has been suspended, with outage expected to continue until the fault is identified and fixed through an offshore intervention program. The location of the fault has not yet been determined and could be within the Santos or Nexus offshore facilities. A vessel has been mobilized and is scheduled to arrive at the field on June 15, 2012, depending on weather, to commence the inspection and rectification works. The facility receives gas via a pipeline from Bexu???s offshore Longtom field.
Project Details: Longtom
Africa – West
Tullow Oil Intersects Good Quality Oil in Paon
Jun 8, 2012 – Tullow Oil reported that the Paon-1X exploration well in the CI-303 license offshore Cote d’Ivoire has intersected good quality light oil in a Turonian fan system. Paon-1X, the first deepwater exploration well drilled in the license, encountered 102 feet (31 meters) of net oil pay in a gross interval of 243 feet (74 meters) of turbidite sands. Pressure data indicates that this interval contains a continuous hydrocarbon column and samples show that it is a light oil of 41 degrees API. Further analysis is required to determine reservoir quality and the extent of the fan system. Following completion of logging operations, the well will be suspended for possible future use in appraisal and development operations. Drilled by the Eirik Raude (UDW semisub), the Paon-1X well reached a final depth of 16,699 feet (5,090 meters) in a water depth of 7,195 feet (2,193 meters).
Project Details: Paon
Europe – North Sea
Lundin Temporarily Suspends Albert Drilling
Jun 14, 2012 – Noreco reported that exploratory drilling on well 6201/11-3 in Production License 519, targeting the Albert prospect, has been temporarily suspended until August. The Bredford Dolphin (mid-water semisub) is moving to a Norwegian yard to complete its five-year renewal survey before returning to complete the Albert exploration well.
Project Details: Albert
Bridge Energy Acquires Stake in Boa Field
Jun 14, 2012 – Bridge Energy has signed a Sale and Purchase Agreement to acquire a 1.55 percent working interest in the producing Boa field from OMV Limited for a consideration of $18.1 million. The interest will add production of 250 bopd to Bridge. The unitized field extends across the UK/Norway median line and lies 88.65 percent in Norway Block 24/6 and 11.35 percent in UK Blocks 9/15a and 9/15b. The field was developed in 2008 as part of the wider Alvheim area development with three subsea development wells tied-back to the Alvheim FPSO operated by Marathon. Oil from Boa is shipped by shuttle tanker while gas is exported into the UK market via the Beryl SAGE system. The field is expected to produce until 2022.
Project Details: Alvheim
Statoil Gets Govt Nod to Drill at Troll
Jun 14, 2012 – Statoil was granted consent to drill on the Troll field using the COSLInnovator (mid-water semisub). The consent applies to drilling, completion and plugback on the field in a water depth of 1,093 feet (333 meters). Statoil’s contract with COSL Drilling Europe for use of the COSLInnovator has a duration of eight years from the start of the contract.
Project Details: Troll Area
Xcite Reaches TD at Bentley Well
Jun 13, 2012 – Xcite Energy has reached a targeted depth of 9,646 feet (2,940 meters) at well 9/3b-7z on the Bentley field. A reservoir section in excess of 2,000 feet (610 meters) has been drilled with 100 percent net pay and sand control screens have been run successfully. The top reservoir, at 3,609 feet (1,100 meters) true vertical depth, is higher than previously encountered in any part of the field to date, thereby giving an oil column depth of approximately 121 feet (37 meters). The remainder of the planned operations, including installation of the smart completion equipment (enabling individual laterals to be flowed, co-mingled or shut-in), the down-hole pumps and commissioning of the processing equipment will now be undertaken prior to commencing production testing.
Project Details: Bentley
Antrim Eying Fyne Development
Jun 13, 2012 – Antrim Energy has been granted an extension for the submission of a Field Development Plan for the Fyne field in the UK sector of the North Sea. The UK Department of Energy and Climate Change (DECC) notified the operator that it has extended the deadline for submission of an FDP for the Fyne field from June 2012 to January 2013. Antrim also anticipates DECC approval of the transfer to Antrim of the working interests of the other two partners in the License, Premier Oil UK Limited and First Oil Expro Limited, as well as the transfer of operatorship to Antrim from Premier. Once DECC approves the transfers, Antrim will be operator and hold 100 percent working interest in the Fyne License. The license target date for first production remains in the fourth quarter of 2014. Antrim continues its work on the design of a small SPAR production facility to determine its suitability for Fyne and surrounding fields in the Greater Fyne Area. In parallel with this work, Antrim is seeking joint venture partners to participate in appraisal and development of the Greater Fyne Area discoveries, including West Teal in Block 21/24b (Antrim 100 percent).
Project Details: Fyne
Apache Spuds Tryfan Well
Jun 13, 2012 – Apache has commenced exploratory drilling at the Tryfan prospect located in UK Block 3/17. The operator reported that Tryfan is an Eocene channelized sand play in the northern North Sea which benefits from a strong seismic amplitude response. The well is estimated to take around 25 days to complete.
Project Details: Tryfan
Norwegian Parliament OKs Edvard Grieg Development
Jun 11, 2012 – The Norwegian Parliament has approved development and operation plans for Lundin’s Edvard Grieg field, formerly Luno. This is the first project to progress to the development phase in the oil-rich Utsira High area of the Norwegian North Sea. The Edvard Grieg field is estimated to hold about 186 million barrels of oil equivalent and is scheduled to come on-stream in the fourth quarter of 2015. The Edvard Grieg development plan includes drilling of 15 wells from a jack-up rig, a processing platform on a jacket structure and export pipelines tied-back to existing infrastructure.
Project Details: Edvard Grieg (Luno, Draupne) Project
Total Receives Consent to Develop Martin Linge
Jun 11, 2012 – Total has received approval from the Norwegian Parliament for the development and operation of the Martin Linge, formerly Hild field. The field, which holds estimated recoverable reserves of 189 million boe, will be exploited using a fixed platform with gas to be exported via the UK pipeline system and oil to be processed and stored on a floating storage and offloading vessel for export by shuttle tanker.
Project Details: Martin Linge (Hild)
CGGVeritas to Acquire Seismic Survey over Ekofisk
Jun 8, 2012 – CGGVeritas will commence a survey acquisition of the Ekofisk field in the Norwegian sector of the North Sea, as part of the multi-year Life-of-Field seismic program for which it was awarded both the seismic data acquisition and processing. Mobilization is set to begin early June 2012, and the shooting period will last about one month. Production commenced from the Ekofisk field in 1971, and Eldfisk came on stream in 1979. ConocoPhillips operates the license, PL 018, with a 35.11% interest; Total holds 39.90%; Eni holds 12.39%; Statoil holds 7.60%; and Petoro holds 5%.
Project Details: Ekofisk Center
Africa – Other
Statoil Hits Pay in Tanzania
Jun 14, 2012 – Statoil reported that logging results from its Lavani well, offshore Tanzania, has confirmed a new high-impact discovery. The company said that preliminary estimates suggest a resource of three trillion cubic feet of gas-in-place. The Lavani well encountered 312 feet (95 meters) of “excellent quality” reservoir sandstone with high porosity and high permeability. The Lavani well, drilled in 7,875 feet (2,400 meters) of water depth is being drilling by Ocean Rig Poseidon (UDW drillship).
Project Details: Lavani
Anadarko Strikes Again in Rovuma Basin
Jun 11, 2012 – Anadarko has made another significant natural gas discovery offshore Mozambique in the Rovuma Basin. The Atum discovery well encountered more than 300 feet (92 meters) of natural gas pay in two high-quality Oligocene fan systems. According to preliminary data, the latest discovery is connected to the recent Golfinho discovery located approximately 10 miles (16.5 kilometers) northwest in Offshore Area 1. “We estimate this new complex, which is located entirely within the Offshore Area 1 block, holds 10 to 30-plus trillion cubic feet (Tcf) of incremental recoverable natural gas resources,” said Bob Daniels, Anadarko???s senior vice president of worldwide exploration. The Atum well was drilled by Dolphin Drilling rig Belford Dolphin (UDW drillship) to a total depth of approximately 12,665 feet (3,860 meters) in approximately 3,285 feet (1,000 meters) of water.
Project Details: Atum
S. America – Brazil
BW Offshore Signs Operation Contract with Statoil
Jun 12, 2012 – BW Offshore has signed a five-year contract with Statoil for the operation of the Peregrino FPSO, with options for an additional 15 years. The unit is operating at the Peregrino oil field offshore Brazil and BW Offshore will take over operations after a transition period of six months. The Peregrino field is located 53 miles (85 kilometers) off the Rio de Janeiro coast in a water depth of 394 feet (120 meters). Statoil operates the field holding a 60% interest; Sinochem holds the remaining 40%.
Project Details: Peregrino
Petrobras Finds Light Oil in Southern Portion of Sapinhoa
Jun 11, 2012 – Petrobras has found light crude oil at well, 1-BRSA-1045-SPS located in the southern portion of Sapinhoa field at a water depth of 7,222 feet (2,202 meters). The company’s cable tests confirmed that the discovery is of around 27 degree API. Under a ‘Rights Transfer Agreement’, the company is entitled to produce 319 million barrels of crude equivalent in the area. Petrobras is currently trying to drill the well to a depth of 16,590 feet (5,058 meters) to determine the lower limit of the reservoir. After drilling is completed, the company plans to conduct a formation test to determine the productivity of the oil reservoir.
Project Details: Sapinhoa (Guara)

Recap: Worldwide Field Development News (Jun 1 – Jun 7, 2012)

Baker-Hughes-International-Offshore-Rigs-Up-by-11-USA

This week the SubseaIQ team added 3 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.

Asia – Far East
CNOOC Receives Formal EIA Approval for Lishui Development
Jun 6, 2012 – CNOOC and Primeline Energy have received formal approval on the environmental impact assessment report for the development of the Lishui gas field from the State Oceanic Administration. The SOA had previously approved the routing of pipeline for the development. Primeline Energy, a partner on the field, reported that the EIA approval paves the way for the final regulatory approval required for the development, namely approval of the overall development program. Primeline expects that CNOOC will submit the ODP for confirmation by the National Reform and Development Committee shortly. Thus far, major construction contracts have been signed for the development to progress with fabrication of the platform and work on the pipeline are proceeding on schedule. The development is currently on time for first production, which is expected to be around 3Q 2013. The Lishui gas field is located on Block 25/34 offshore China and reportedly holds 4.9 billion cubic meters of proven gas reserves.
Project Details: Lishui
Peng Lai Field Leaks Small Amount of Oil
Jun 5, 2012 – CNOOC Limited reported that a small amount of oil is leaking from the Penglai 19-3 oil field in the Bohai Bay. A small amount of oil leaked into the sea from the Penglai 19-3 field when a safety device on a hose coupling parted due to an abnormality during an oil transfer operation on June 3. The leak was secured immediately when automatic isolation valves closed. Roughly 0.6 tonnes of oil was released into the sea, said CNOOC.
Project Details: Peng Lai
Europe – East
Gazprom Seeking New Partners for Shtokman Project
Jun 6, 2012 – Gazprom has been seeking to develop Shtokman, one of the world’s largest natural gas fields, since the early 1990s, and after several attempts has put together a consortium comprising Statoil, Total and itself. But technological challenges and precipitously low gas prices, as well as the emergence of the U.S. as a gas exporter, have called its financial viability into question. The final investment decision for project hasn’t been announced.
Project Details: Shtokman
N. America – Mexico
Fluor to Build Ku-Maloob-Zaap Production Platform
Jun 7, 2012 – ICA Fluor and Fluor Corporation have signed a contract with Pemex for the construction of an offshore production platform at the Ku-Maloob-Zaap field in the Gulf of Mexico. The contract has a value of $95 million. ICA Fluor and its subsidiary Industria del Hierro will be responsible for the procurement, construction, testing, and load-out of the Ayatsil-C platform. Weighing 11,832 tons and reaching 433 feet (132 meters) deep, Ayatsil-C is the first structure of this size to be installed by Pemex. The project is expected to be completed by the end of 2013.
Project Details: Ku-Maloob-Zaap
Europe – North Sea
Athena Field Performs as Expected
Jun 7, 2012 – Ithaca Energy reported that the Athena field has reached initial peak gross oil production rates of 22,000 bopd, and oil export operations have commenced. The flow from each of the four oil production wells is being supported by electrical submersible pumps with water injection being used to support the reservoir pressure of the field and thereby maintaining and sustaining production rates. An initial cargo has already been offloaded from the BW Athena to the shuttle tanker Betty Knutsen.
Project Details: Athena
Premier Hits Oil in Carnaby
Jun 6, 2012 – Premier has reached a total depth of 4,695 feet (1,431 meters) at the Carnaby exploration well and has encountered oil. Initial analysis indicates that the well encountered 51 feet (15 meters) of net oil in the main Tay sandstone within an estimated 86 feet (26 meters) oil column. A core was taken and confirmed oil in excellent quality sandstones. Pressure data and sampling indicates that the API of the oil is 24 degrees and is of similar quality to that established at the nearby Catcher discoveries. The oil water contact was at the shallower end of expectation; driven by the more complex geology associated with this type of footwall prospect. The well also encountered 51 feet (15 meters) of Cromarty sands but these were shown to be water wet on the logs. The high quality data acquisition from the well will now be used to determine what contribution the Carnaby discovery will make to the overall Catcher development. The well will be plugged and abandoned ahead of the rig moving to drill the high risk Coaster prospect on Block 28/10a, immediately east of the Catcher acreage.
Project Details: Carnaby
MPX Terminates Rig Contract
Jun 6, 2012 – MPX Energy and partners have terminated the drilling contract with Awilco Drilling as a consequence of technical downtime. The semisub was conducting exploratory drilling at the Timon exploration well in the UK sector of the North Sea. As previously reported, the well has been suspended for reentry and the license partners are currently investigating alternative rig options to complete drilling of the Timon prospect.
Project Details: Timon
ConocoPhillips Delays Jasmine Production until 2013
Jun 5, 2012 – ConocoPhillips has delayed production start-up of its Jasmine field in the central North Sea until 2013. It had been hoped that the high-pressure, high-temperature field, described as one of the UK’s largest finds in the last 10 years, could come online in the fourth quarter of 2012. Thus far, the operator has drilled two of eight development wells and plans to spend about $400 million on the project. Jasmine was discovered in 2006 and has been estimated to hold recoverable reserves of more than 100 million barrels oil equivalent. The development, 5.5 miles (8 kilometers) west of the Judy platform, will comprise a Jasmine wellhead platform (WHP) and a bridge-linked accommodation and utility platform, a Judy riser and separation platform (JRP) with additional Judy well slots bridge-linked to the existing Judy platform and a multiphase pipeline from the WHP to the JRP.
Project Details: Jasmine
Marathon Submits Boyla PDO to Norwegian Authorities
Jun 4, 2012 – Marathon and partners have submitted a plan for development and operation (PDO) of the Boyla field (formerly Marihone) to the Norwegian Ministry of Petroleum and Energy. The Boyla development is expected to begin production during the fourth quarter of 2014. The field will be developed as a subsea tie-back to the Alvheim floating production, storage and offloading vessel (FPSO) with two production wells and a water injection well being drilled. The total investment is estimated to be $867 million with reserves estimated at 23 million barrels of oil equivalents. Boyla crude oil will be commingled with the Alvheim blend and exported via shuttle tankers. Associated gas will be exported via Alvheim to the SAGE pipeline.
Project Details: Alvheim
Aker Grabs Early Phase Studies for Several Discoveries
Jun 4, 2012 – Statoil has awarded Aker Solutions early phase studies for several major discoveries on the Norwegian Continental Shelf including Skrugard, Havis and Johan Sverdrup. Aker Solutions will perform a concept study for the Skrugard and Havis fields, as one of several vendors. The two fields, which are located only 4 miles (7 kilometers) apart, will be developed as a joint solution. The work on the Johan Sverdrup field development is a feasibility and screening study. The concept study for the Skrugard and Havis development will be executed by Aker Solutions in Oslo, with participation from its new engineering office in Tromso. As a part of the concept study for the Skrugard and Havis fields, Aker Solutions will on behalf of Statoil perform a screening of potential scope to be performed by local suppliers in the northern regions for the developments ahead. The screening will be led by the Tromso office.
Project Details: Skrugard
Africa – West
Rialto Energy Sidetracks Gazelle-P3 well
Jun 5, 2012 – Rialto Energy has commenced drilling of the Gazelle-P3 ST2 well to optimize the recently drilled Gazelle-P3 ST well in order to underpin the oil and gas development of the Gazelle field. Following planned testing in the Upper Cenomanian-1 reservoir (UC-1), the Gazelle-P3 ST2 well is intended to be suspended as a future producer. The sidetrack operation is expected to take about 12 to 15 days.
Project Details: Gazelle
First Subsea Completes Block 31 FPSO Mooring
Jun 4, 2012 – First Subsea has completed the mooring of the PSVM (Plutao, Saturno, Venus and Marte) FPSO in Block 31 offshore Angola. The double-hulled PSVM FPSO, moored in 6,562 feet (2,000 meters) of water, is a hub field development that will produce oil from the Plutao, Saturno, Venus and Marte fields. Comprising the northeast sector of the license about 400 kilometers (249 miles) from Luanda, PSVM is the first of four planned development projects on Block 31.
Project Details: PSVM
N. America – US GOM
ATP Resumes Completion Ops at Mirage Field
Jun 4, 2012 – ATP has resumed recompletion operations at the Mississippi Canyon Block 941 A-2 well at the Telemark Hub. The recompletion was suspended while the company recovered a piece of tubing that was stuck in the casing. The MC 941 A-2 recompletion operations to perforate and frac-pack the B upper and lower sands are expected to conclude during second quarter 2012. MC 941 is located in the Mirage field at the Telemark Hub location utilizing the ATP Titan floating drilling and production platform.
Project Details: Telemark
N. America – US Alaska
Shell Still Optimistic about Alaska Drilling
Jun 5, 2012 – Dow Jones Newswires reported that Shell hopes to drill for oil offshore Alaska in July 2012. “We are very encouraged with the progress in the Beaufort and Chukchi seas. All the permits are coming into place and we are looking forward to drilling, most probably in July and then later on in August and the early part of September,” Chief Executive Peter Voser told Dow Jones Newswires.
Project Details: Burger, SW Shoebill, Cracker Jack
Australia
ConocoPhillips Progresses Caldita/Barossa Discoveries
Jun 7, 2012 – Santos Limited has entered into an agreement with ConocoPhillips and SK E&S to progress with the development of the Caldita and Barossa gas discoveries located in the Timor Sea. Prior to the agreement, Santos held a 40% interest in both discoveries, with operator ConocoPhillips holding the remaining 60%. Under the terms of the agreement, SK will earn a 37.5% interest in Caldita and Barossa through a proportionate reduction by Santos and ConocoPhillips. ConocoPhillips will remain operator of both permits. SK will fund the first $260 million of a three-well appraisal program, expected to begin in 2013. Following completion of the appraisal program, SK will have the option to increase its interest to 49.5% in exchange for a further payment of $60 million to Santos and ConocoPhillips, shared according to their original interests in the permits. SK will fund up to $90 million of pre-front end engineering and design (pre-FEED) and FEED activities, expected to begin in 2014. SK will make FID and first LNG cargo payments of up to $110 million to Santos and ConocoPhillips upon meeting certain milestones.
Asia – SouthEast
AWE Spuds Atlas
Jun 4, 2012 – AWE Limited has commenced exploratory drilling at the Atlas-1 well. The well is an exploration well designed to test the gas potential of a carbonate reservoir sequence that, together with the nearby Lengo gas discovery, could contain up to 1 trillion cubic feet of recoverable sales gas. The well is planned to be drilled to a total measured depth of about 2,526 feet (770 meters). The water depth of the site is 230 feet (70 meters).
Project Details: Atlas
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