Oil and Gas
APA 2021 - Awards Announcement.
The Norwegian Ministry of Petroleum and Energy has announced 28 companies have received offers of ownership interests in 53 production licences on the Norwegian Shelf in the Awards in Predefined Areas (APA) 2021.
Of the 53 licences, 28 are in the North Sea, 20 are in the Norwegian Sea and 5 are in the Barents Sea. Many of these licences are positioned close to existing infrastructure in areas of known geology which could prove considerable value with more to be discovered.
ECPC 2021 - Awards Announcement
The results of the EGPC 2021 Bid Round have been announced. 8 blocks (two in the Mediterranean, four in the Western Desert and two in the Gulf of Suez) were awarded to ENI, BP, APEX international, Energean Egypt, ENA Nafta, Sipetrol, and United Energy.
The awarded blocks cover an area estimated at 12,300 km2 with a minimum investment during the exploration estimated at $250 million. A minimum of 33 wells have been committed alongside the $23.7 million signature bonus
Norway Exploration Update
Equinor has, together with its partner Wellesley, discovered oil in the Troll and Fram area in exploration wells 35/10-7 S and 35/10-7 A in the Toppand prospect. Preliminary calculations of the expected size indicate between 3.3 and 5.2 million standard cubic metres of recoverable oil equivalent, or around 21-33 million barrels of recoverable oil equivalent.
Wells 35/10-7 S and 35/10-7 A were drilled to respective vertical depths of 3509 and 3370 metres below sea level, and respective measured depths of 3563 and 3574 metres below sea level.
The wells were terminated in the Dunlin Group from the Early Jurassic. Water depth at the site is 354 metres. The wells have been permanently plugged and abandoned.
The wells were drilled by the West Hercules drilling facility, which will now drill wildcat well 6407/9-13 in production licence 1060 in the Norwegian Sea, where Equinor Energy AS is the operator.
Turkey Exploration Update
TPAO announced that it has successfully completed the Türkali-1 appraisal well on the Sakarya gas discovery in the Black Sea. Türkali-1 was drilled to a final depth of 3,920 meters in a water depth of 2,143 meters using the Fatih Drilling Ship with well flow tests carried out by the Kanuni Drilling Ship. The first reservoir section flowed gas at a rate of 1.15 MMSCMD and proved excellent reservoir connectivity.
Data from the appraisal drilling will help finalse the FEED with development and first gas from the Sakarya discovery expected in 2023. A total of 540 billion m3 of natural gas has been discovered so far during the exploration works carried out by TPAO in the Black Sea.
Cyprus Exploration Update
On 22 December 2021 Natasa Pilides (Minister of Energy, Commerce and Industry of Cyprus) announced that the Stena Forth drilling rig had spud the Glaucus-2 appraisal well in Block 10, offshore Cyprus. The minister posted a video on Twitter showing the commencement of drilling operations.
The Glaucus-1 exploration well discovered the Glaucus gas field in February 2019. This discovery was announced by ExxonMobil and QatarEnergy. Glaucus-1 exploration well discovered 133 meters of the natural gas-bearing reservoir of excellent quality. The Glaucus gas field is estimated to have 5 to 8 trillion cubic feet of gas resources in place.
In 2015 Eni announced the Zohr field gas discovery (30 Tcf), located further south of Glaucus field offshore Egypt, and in 2019 TotalEnergies announced the Calypso gas discovery (6+Tcf), located further north of Glaucus field offshore Cyprus. The Glaucus gas discovery further enhances the carbonate play fairway in the area (shallow water platform build-ups developed during the Miocene/Cretaceous, sealed by the Messinian evaporites).
Interest in Block 10 is split between ExxonMobil (Operator+60%) and QatarEnergy (40%).
Morocco Exploration Update
Chariot has announced the successful completion of drilling operations on the Anchois gas project within the Lixus licence, offshore Morocco.
During the campaign, the Anchois-2 well was drilled to a total measured depth of 2,512m by the Stena Don drilling rig in 381m of water. Preliminary interpretation of the data confirmed the presence of significant gas accumulations in the appraisal and exploration objectives of the Anchois-2 well with a calculated net gas pay totalling more than 100m, compared to 55m in the original Anchois-1 discovery well.
The Stena Don rig then moved to the Anchois-1 gas discovery well to perform re-entry operations. The well was efficiently located and the wellhead was inspected, prepared and successfully coupled with the Stena Don rig confirming its potential viability as a future producer well.
Chariot has a 75% interest and operatorship of Lixus in partnership with ONHYM (25%).
Kenya Exploration Update
At the end of 2021, Eni spud the Mlima-1 exploration well in Block L11B, located within the Lamu Basin offshore Kenya. The well is the first to be drilled offshore in Kenya for a number of years with the most recent well prior to this being BG Groups Sunbird-1 well which was drilled in 2014 in the adjacent block L10A and intersected oil and gas.
Only one other exploration well has been drilled in Block 11B to date were Anadarko, in 2013 drilled the Kiboko-1 well which was dry.
Eni is the operator of Block 11B (41.25%) alongside partners TotalEnergies (33.75%) and QatarEnergy (25%).
Namibia Exploration Update
It is rumoured that Shell, alongside partners QatarEnergy and NAMCOR have encountered light oil and gas at the Graff-1 exploration well, offshore Namibia. The well is currently being drilled in block 2913A using Valaris Limiteds VALARIS DS-10.
Graff-1 was the second high impact well to be spud in the Orange Basin at the end of 2021 with TotalEnergies also currently drilling the Venus-1 well in neighbouring block 2913B.
Whilst official details are yet to be released, further information will be hotly anticipated by a number of companies with acreage in the region, not least Eco Atlantic Oil & Gas who yesterday entered into an agreement to acquire 100% of Azinam Group Limited, including Azinam’s entire offshore asset portfolio.
Guyana Exploration Update
Hess Corporation has announced two significant discoveries at the Fangtooth-1 and Lau Lau-1 wells on the Stabroek Block offshore Guyana.
The Fangtooth-1 well encountered approximately 50 meters of high-quality oil-bearing sandstone reservoirs. The well was drilled in 1,838 meters of water by Stena Drillings Stena DrillMAX and is located approximately 18 kilometres northwest of the Liza Field.
The Lau Lau-1 well encountered approximately 96 meters of high-quality hydrocarbon-bearing sandstone reservoirs. The well was drilled in 1,461 meters of water by Noble Drillings Noble Don Taylor and is located approximately 68 kilometres southeast of the Liza Field.
The Stabroek block is operated by ExxonMobil subsidiary ESSO Guyane Française Exploration et Production (45%) alongside partners Hess Corporation (30%) and CNOOC International (25%).
Brazil Exploration Update
Exploration is hotting up in Campos and Santos Basins, offshore Brazil with a number of high impact wells currently being drilled. This includes the Marolo (1-TOT-2-RJS) which was spud at the end of December 2021. The well, being drilled using the Valaris Renaissance in Block C-M-541. The block is operated by TotalEnergies (40%) alongside partners Petronas (20%) and QatarEnergy (40%)
Further south, in Block C-M-791 in the Campos Basin, Shell has spud the BOB (1-SHEL-34-RJS) exploration well using Seadrills West Tellus rig. BOB is targeting a pre-salt play within Block C-M-791 which is operated by Shell (40%) alongside partners Petrogal (20%) and Chevron (40%)
BP is also conducting exploratory drilling in the Campos Basin, drilling the Alto de Cabo Frio (1-BRSA-1383-RJS) exploration well using the Brava Star drilling rig. ~
BP is the operator of the Alto de Cabo Frio licence (50%) alongside partner Petrobras (50%)
Timor Leste Exploration Update
Carnarvon Energy Ltd announced sub-commercial oil volumes for its Buffalo-10 well, drilled offshore Timor Leste on block PSC TL-SO-T19-14.
The Valaris JU-107 jack-up drilling rig has been contracted for the Buffalo-10 drilling operations.
The interpretation from the LWD tools and drilling information determined that an approximate 12 meters gross oil column was encountered. Wireline logging operations have been completed with the oil column deemed to be residual and uncommercial.
Carnarvon Energy Ltd is the operator of the block and holds a 50% share, in partnership with Advanced Energy plc (50%).