Iona to upgrade development plan for North Sea West Wick discovery

Oct. 29, 2012
Iona Energy Energy Co. (UK) Ltd. has acquired a 58.73% operating interest from Centrica in UK North Sea block 13/21a which contains the West Wick oil field.

Offshore staff

CALGARY, Canada – Iona Energy Energy Co. (UK) Ltd. has acquired a 58.73% operating interest from Centrica in UK North Sea block 13/21a which contains the West Wick oil field.

The UK Department of Energy and Climate Change has also completed the license assignment. Under the terms of the agreement, Iona has delivered a $5.1-million payment to Centrica.

Amoco discovered the accumulation in 1990, around 3.75 km (2.3 mi) west of the Captain oil field, operated by Chevron. Oil was encountered within Cretaceous Upper and Lower Captain sandstone reservoirs and correlates to the same reservoirs in the Captain field, which has been in production since 1997.

Following the discovery well, four delineation wells were drilled to appraise, the last of these (13/21a-5 and 13/21a-6) were drilled byEnterprise Oil in 2001.

West Wick is a three-way dip closed structure, 3 km long by 2 km wide (1.86 x 1.24 mi), with an observed oil column of 228 ft (69.5 m) true vertical thickness. Oil proven via wireline sampling has an API range of 13-21°, with estimated 100 cP viscosity crude in the reservoir.

Iona considers the field fully appraised and intends to finalize its preferred development concept within the next few months, integrating the West Wick project schedule into its plans for theOrlando and Kells oil fields in the northern North Sea, both of which it owns 100%.

The company plans to upgrade the draft field development plan prepared in 2007 by VPC, move quickly to issue engineering contracts, and identify critical long-lead items for procurement.

Block 13/21a is covered by 3D seismic and Iona believes the deeper Jurassic stratigraphy provides further exploration potential underlying the block.

Iona’s CEO Neill Carson said: “At 31.7 MMboe of 2P reserves, we believe we have reached critical mass allowing us to take the company to the next level.”

10/29/2012