DEO planning phased development of Perth in North Sea

DEO has submitted a field development plan for the Perth area in the UK North Sea to Britain’s Department of Energy and Climate Change.

Offshore staff

ABERDEEN, UK – DEO has submitted a field development plan for the Perth area in the UK North Sea to Britain’s Department of Energy and Climate Change.

The development is based around an FPSO. DEO has selected a preferred provider and is in discussions concerning design specifications and contractual terms.

Perth will be developed on a phased basis, with Phase 1 targeting 27.2 MMboe through the drilling of three production wells and two water injectors with a 2-km (1.2-mi) tieback to the FPSO. The floater’s capacity should be sufficient to cope with future phases, and to accommodate crude from third-party developments within a 30-km (18.6-mi) radius of Perth.

First oil from Perth is targeted for the first half of 2014.

In June, DEO and the other Perth licensees in block 15/21a reached agreement with the block 15/21g co-venturers concerning creation of an Amalgamated Area out of the two blocks.

They have since agreed equity arrangements, and the two parties have also confirmed a firm well commitment on the Spaniards prospect to assess whether this is a continuation of the updip Gamma discovery, which flowed 2,660 b/d of oil from the Upper Jurassic Galley sands.

DEO expects an appraisal well to be drilled on Spaniards during the second half of 2012, to satisfy the license commitments, which will be funded 100% by the 15/21g group on a dry-hole basis. The costs of any follow-up well will be borne 42.85% by the Perth group and 57.2% by the 15/21g group, again on a dry hole basis.

Currently, TGS-Nopec is acquiring a new 3D seismic survey over block 15/21, using the Oceanic Challenger vessel, and covering the Gamma/Spaniards, Dolphin, and Sigma oil discoveries, as well as the Perth field.

This is the first new survey on the block for more than a decade. Processing should be completed during the first half of 2012 in time to optimize Perth development drilling and to appraise the satellite discoveries, planned for 2013.

10/04/2011

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