Discovered offshore volumes tailing off globally, consultant finds

Offshore staff

OSLO, Norway – If no significant discoveries emerge over the next 10 days, 2021 will be the thinnest year for oil and gas discoveries since 1946, according to Rystad Energy.

By the end of November, globally discovered volumes were an estimated 4.7 Bboe, the consultant calculates, way down on the 12.5 Bboe proven in 2020, with no giant new finds reported.

Of this year’s intake, liquids comprised 66% of total finds, with the seven new discoveries announced last November totalling around 219 MMboe.

Palzor Shenga, vice president of upstream research at Rystad, said: “Although some of the highly ranked prospects are scheduled to be drilled before the end of the year, even a substantial discovery may not be able to contribute towards 2021 discovered volumes as these wells may not be completed in this calendar year.”

Last month’s largest discovery was Lukoil’s 75-MMbboe recoverable Yoti West offshore Mexico. But these volumes alone are not sufficient for a commercial development, Rystad said, so further discoveries of a comparable scale would be needed to form the basis of a development concept.

Other wells in the Mexican sector are due to be drilled in blocks offered in various bid rounds, many involving leading IOCs.

Elsewhere, PTTEP’s Nangka-1 was the company’s second success gas find on block SK 417 offshore Sarawak, while Norway continues to deliver small-to-mid-size finds that can be developed through existing infrastructure.

12/21/2021