Gene Kliewer • Houston
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Latin America
Trinidad. First gas production from the Dolphin Deep development to the onshore processing facilities at Beachfield on the south east coast of Trinidad and Tobago, was reported by operator BG Group and partner Chevron.
Dolphin Deep is 83 km off the east coast of Trinidad in the East Coast Marine Area. Gas from the two Dolphin Deep wells is expected to reach a maximum rate of 250 MMcf/d and will go to Atlantic LNG (ALNG) in Port Fortin on the south west coast via two recently completed pipelines - the 95 km offshore Dolphin to Beachfield pipeline, and the 76 km onshore Cross Island pipeline.
“By bringing the Dolphin Deep field on stream, BG Group and its partner have completed the first subsea development in Trinidad and Tobago,” said Martin Houston, executive VP North America, Caribbean and Global LNG for BG.
BG Group (50% partner with Chevron) operates the Dolphin, Dolphin Deep, and Starfish fields in the ECMA. The Dolphin gas field began production in March 1996, and is contracted to supply up to 275 MMcf/d of gas to the National Gas Co. of Trinidad and Tobago under a 20-year contract. ECMA is scheduled to supply 80 MMcf/d to ALNG Train 3 and 120 MMcf/d to ALNG Train 4.
Ecuador. Indonesia and Ecuador agreed to collaborate in the oil and gas sector, say reports from Jakarta
Indonesian Foreign Minister Hassan Wirajuda said the country sent a delegation led by state-owned oil firm of PT Pertamina to Ecuador.
“We have signed a memorandum of understanding in the oil and gas sector, actually (it is) a reflection of the wish of the two governments to work closely to promote our pilot cooperation in the energy sector,” Wirajuda said.
Ecuadorian Foreign Minister Francisco Carrion said his country was seeking a new stakeholder in the sector and expected Indonesia’s expertise in the field could be useful for his country.
El Salvador. El Salvador’s state power company CEL plans to hire a consultant to study possible oil deposits some 111 km off the country’s coast, said CEL president Nicolas Salume in reports from the area.
The consultant would also draft bidding rules for an international tender to explore the area, said Salume.
Two US and Brazilian companies have expressed interest in carrying out exploration works, he said, but no names were given.
Caspian Sea
Dragon Oil Plc. reports total field production from the Cheleken Contract Area, in the Caspian Sea, offshore Turkmenistan, through mid-2006 was 3.4 MMbbl of oil and the average gross production for the half-year was 18,576 b/d of oil, with 13,444 b/d of oil attributable to Dragon. This is down from the same period in 2005, when 3.5 MMbbl were produced. This production decline was attributed to a block early in the year in the pipeline between the LAM 22 wellhead platform and the block 2 riser.
Dragon also says two development wells were drilled and completed from the upgraded LAM 10 platform this year using theIran Khazar jackup.
Wells Zhdanov 21/53, Zhdanov 60/68, Zhdanov 21/51 and Zhdanov 60/66 were part of a workover program. Zhdanov 21/53 tested at 214 b/d of oil, Zhdanov 60/68 at 515 b/d of oil, Zhdanov 21/51 at 656 b/d of oil, and Zhdanov 60/66 at 350 b/d. All the wells are now on production.
Iran Khazar is drilling the sixth well from the LAM 10 platform, LAM 10/115. Its target depth is 3,700 m to 4,300 m. Following completion of LAM 10/115, the rig is scheduled for another development well to be completed by year-end.
TheAstra jackup is scheduled to drill a development well from the LAM 13 platform. Following that, Dragon intends to use the rig to drill an exploration/appraisal well at the LAM 28.
Europe
North Sea. Initial testing of East Causeway well 211/23d-17z in the UK North Sea flowed at multiple stabilized rates up to 7,000 b/d of oil, reports Antrim Energy Inc., operator.
The well was drilled at a high angle and horizontally through Middle Jurassic Brent sandstone and found several prospective reservoirs in Ness and Tarbert formations in two separate fault compartments.
The oil is light, sweet crude at 32° API.
A second flow test is scheduled on a separate zone.
This well follows the previously drilled 211/23b-11 which intersected the same intervals and tested at 8,100 b/d oil.
Shetland Islands. The Wellington 1 on the UK continental shelf in PL 1368 west of the Shetlands has spudded, according to Sunshine Gas Ltd.
In 148m of water, theBredford Dolphin is drilling the well to a proposed TD of 1,251 m. The primary target is the Rona Sandstone.
Hurricane Exploration Plc. is operator with 50% interest. The other 50% is Sunshine Gas.
Africa
Egypt. RWE Dea AG has signed the North El Amriya Concession Agreement with Egypt, making RWE Dea one of the largest acreage holders in the Nile Delta.
North El Amriya is mainly in shallow water in the West Nile Delta. The concession covers 2,066 sq km between the onshore Disouq Concession and the offshore North Idku Concession.
Seismic acquisition and drilling will commence shortly in North El Amriya. The West Nile Delta is the main focus of RWE Dea’s activities in Egypt.
Ivory Coast. First oil is flowing at a rate of 5,000 boe/d from the West Espoir development offshore Ivory Coast.
The development includes a wellhead tower tied back via a 5.5 km pipeline to the Espoir FPSO, where it joins production from East Espoir. Combined, the two fields produce more than 35,000 boe/d.
Four more production wells and two water injection wells are planned in West Espoir. Production is expected to reach 10,000 boe/d by late 2007, says Tullow Oil Plc, which has a 21.33% interest in the development.
Nigeria.First production from Addax Petroleum’s Nda field development program started on July 30. The addition of this Nda field production has raised Addax’s gross daily oil production to 102,200 b/d, marking the first time that Addax’s production has exceeded 100,000 b/d.
The Nda Field lies in OPL-90, adjacent to the Okwori field and approximately 90 km south of the Nigerian coastal town of Port Harcourt. Discovered by Addax Petroleum in July 2004, the field is being developed as a subsea tieback to theOkwori FPSO following an extended well test. Addax received governmental approval for the Nda field development plan in February of this year.
Asia/Pacific
Indonesia. PT. Berlian Laju Tanker Tbk (BLT) has entered the FPSO business with a five-year contract with Pertamina-PetroChina JOB operating the Salawati field, off Irian Jaya/Papua.
It has converted one of its own tankers into an FPSO, an investment of $35 million for the field, which would have two production operations, first TBA and the second TBC, for about 10 years.
BLT finance director Kevin Wong said the company was already working on the potential of converting a second FPSO/FSO for an Indonesian field.
The company has a number of tankers convertible into FPSOs/FSOs from its growing fleet of 57 ships, tankers, chemical and gas carriers.
Wong stressed on the importance of the FPSO/FSO business for BLT, citing as an important business growth area.
“We are looking at the regional FPSO/FSO opportunities but our advantage will be in Indonesia,” he said, citing the intensified level of upstream activities in Southeast Asia.
“We are also the first Indonesian company to own and operate an FPSO,” he said.
BLT signed on international ship and FPSO management company, TESMA, to manage theBrotojoyo operation. The FPSO was to start production early in August at an initial output of 6,000-10,000 b/d. The 30,000 b/d facility can handle 28,000 b/d of production from the Salawati field, and provide storage for 400,000 bbl. It has accommodation for 35 oilfield and FPSO operators as well as support staff.
New Zealand.Three exploration permits were awarded as a result of the Offshore Taranaki Exploration Permit Blocks Offer.
PEP 38 772 was awarded to Hugh Green Energy Ltd. and is a 3,775 sq km block adjacent to the Wanganui coast. Hugh Green Energy Ltd. is a newly formed exploration company and a subsidiary of the Hugh Green Group.
PEP 38 773 was awarded Greymouth Petroleum and is a 50 sq km coastal block northeast of New Plymouth. Greymouth is a privately held company established in 2002. It operates the Turangi, Ngatoro, Kaimiro, and Goldie fields.
PEP 38 774 was awarded to Highland Exploration and is a 297 sq km block approximately 40 km north of the offshore Pohokura mining permit. Highland Exploration Corp. is affiliated to Bridge Exploration.
Lundin acquires Total’s Peik field interest
Lundin Petroleum AB acquires from Total an interest in the undeveloped Peik gas/condensate field located in the United Kingdom and the Norwegian North Sea.
The acquisition includes 50% of NCS block 24/6a, operated by Total, which includes the Peik Field; 33.3% of UK block 9/15a, operated by Total, which includes the Peik Field.; and, 85% of UK block 9/10b, western part, operated by Total. The total cash consideration is $45 million.
Peik straddles the border between the United Kingdom and Norway and is close to Lundin Petroleum’s assets in the Alvheim area. The field was discovered by two exploration wells and is estimated to contain reserves in excess of 20 MMboe.
The Peik feld will be subject to unitization between the United Kingdom and Norway but it is estimated the acquisition will provide Lundin Petroleum with a 40% net interest in the field. A Plan of Development for the Peik field likely will include a subsea installation tied back to a nearby platform, Lundin says.
The acquisition is subject to approval from both United Kingdom and Norwegian authorities.
