IOG completes wireline intervention at Blythe H2 well

June 26, 2023
IOG has provided an update on the Blythe H2 well wireline intervention and the drilling contract with the Shelf Drilling Perseverance jackup rig.

Offshore staff

LONDON  IOG says a wireline intervention program from the Shelf Drilling Perseverance jackup has finished on the Blythe H2 gas production well in the UK southern North Sea.

According to CEO Rupert Newall, the well has since flowed at a maximum stabilized rate of about 42 MMcf/d, and production will now be managed up from 20 MMcf/d toward the maximum rate to further de-water the Saturn Banks pipeline system.

“The significant improvement in our operating team performance is also demonstrated by Blythe operating efficiency increasing from 59% in 2022 to 93% over 1H 23 to date,” he said.

During well testing prior to first gas from H2 on June 12, gas flow appeared to be choked back below forecast levels due to a restriction above the reservoir. Equipment was brought in to assess whether the cause was a partially activated downhole valve 

The downhole blockage was verified at the expected depth, with the equipment used to fully open the valve, leading to a discernible change in downhole pressure. The well was then handed back to the operations team early yesterday morning.

The absence of formation water production from H2 should reduce aqueous liquid arrivals at the reception terminal at Bacton on the Norfolk coast, easing opex costs. IOG now plans to produce from H2 only over the next few months; once water levels have re-equilibrated at the H1 well location, that well will produce periodically at lower rates to minimize water production.

Shelf Drilling Perseverance has been on contract to IOG-CalEnergy Resources since spudding of the nearby Elgood well in April 2021. However, IOG has decided to defer drilling two planned appraisal wells on the Kelham North/Central and Goddard prospects in light of current gas market volatility and the need to focus on rebuilding cash balances.

The rig will now be released on completion of Blythe H2 operations, with the joint venture continuing to assess options for drilling the two appraisal wells by March 31, 2024, to fulfil license obligations.