Deltic shares analysis of North Sea Pensacola discovery, development scenarios

Jan. 19, 2024
Deltic Energy has issued an update on follow-up studies to last year’s Shell-operated Pensacola gas/oil discovery in the UK southern North Sea.

Offshore staff

LONDONDeltic Energy has issued an update on follow-up studies to last year’s Shell-operated Pensacola gas/oil discovery in the UK southern North Sea.

After completing analysis of the Zechstein Reef 41/05a-2 discovery well in license P2252, Deltic, as a 30% partner, commissioned RPS Energy to conduct a technical review and a commercial assessment of Pensacola.

Prior to drilling an appraisal well, currently planned for late 2024, various uncertainties remain to be resolved concerning any development of the oil volumes discovered. Therefore, Deltic provided RPS with two possible scenarios:

  • A combined oil and gas development involving two separate production platforms and six horizontal wells (three gas and three oil producers) with hydrocarbons exported to Teesside, northeast England, through a new subsea pipeline.
  • A lower-capex, gas-only development with three horizontal wells producing via a normally unmanned installation, exporting gas through a new pipeline to Teesside.

Following completion of the CPR, the UK’s North Sea Transition Authority issued information on the Crosgan Zechstein appraisal well drilled in early 2023 by ONE-Dyas, in partnership with Shell.

Crosgan, 60 km east of Pensacola, appears to be strongly analogous. The 42/15a-4 well drilled on the crest of the Crosgan reef structure is understood to have encountered a Hauptdolomit reservoir 140 m thick, flowing gas at a maximum rate of 26.5 MMcf/d on test.

Deltic's view is that a thicker, higher quality reservoir is likely present across the crest of the Pensacola structure. Data from the Crosgan offset well will be taken into account in future volumetric reviews along with information collected during drilling of the Pensacola appraisal well later this year.

01.19.2024

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