Editor's note: This Global E&P section first appeared in the July-August 2022 issue of Offshore magazine. Click here to view the full issue.
NORTH AMERICA
Nine new field developments should come onstream this year in the deepwater US Gulf of Mexico, according to the US Energy Information Administration (EIA), including Argos/Mad Dog 2, Dome Patrol, Olympus, Taggart and Vito. Cumulatively, these should account for 14% of crude oil and 5% of gas production in US GoM waters, although the gains will likely be cancelled out by declines from already producing fields.
LLOG, which operates Taggart, recently started production from Spruce in Ewing Banks blocks 877 and 921, a 14-mi subsea tieback to the EnVen-operated Lobster platform in over 1,500 ft water depth. The two wells produce 16,000 b/d of oil and 13 MMcf/d of gas.
Shell has agreed to take a 51% operated interest from Equinor in the North Platte project in the Garden Banks area, 275 km (171 mi) offshore Louisiana and in 1,300 m (4,265 ft) water depth. The partners will review the completed FEED work and update the development plan.
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Pemex and New York-based New Fortress Energy (NFE) have agreed to form a strategic partnership leading to joint development of Lakach, Mexico’s largest deepwater gas discovery, 70 km offshore Veracruz. Along with the nearby undeveloped Kunah and Piklis fields, the area has estimated gas resources of 3.3 tcf. NFE plans to complete seven offshore wells on Lakach over a two-year period, with much of the produced gas liquefied on a 1.4 MMt/y FLNG vessel for export. Remaining volumes and associated condensate would be reserved for domestic use.
CARIBBEAN SEA/SOUTH AMERICA
Perenco’s new Macarius Power platform, converted from a former drilling rig, was due to be installed at the Teak, Samaan and Poui (TSP) fields off southeast Trinidad and Tobago. The facility’s two gas turbines will supply power to the TSP complex, reducing the carbon footprint of the existing platforms. An ongoing $200-million program to modernize the facilities includes conversion of gas-lift systems in the wells to electric submersible pumps, and produced water reinjection.
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Shell has appointed BW Offshore (BWO) to perform early engineering for an FPSO for the ultra-deepwater Gato do Mato oil and gasfield development in the Santos basin off Brazil. The award should be followed by an EPCI/18-year lease-and-operate contract to BWO and Saipem, with the FPSO likely delivered in 2026. Shell and its partners reportedly plan 10 subsea wells for the development.
Equinor has awarded TechnipFMC a Letter of Intent for an integrated FEED study for the BM-C-33 gas-condensate project in Brazil’s pre-salt Campos basin. This could lead to an integrated EPCI contract for the entire subsea production/SURF system, with TechnipFMC additionally responsible for life-of-field services.
Petrobras has accepted BW Energy’s (BWE) offer for the Golfinho and Camarupim field clusters in the presalt Espirito Santo basin. The transaction includes a 65% operated stake in the adjacent BM-ES-23 block, containing the Brigadeiro gas/condensate discovery. BWE sees potential for further oil extraction, mainly from infill drilling, and opportunities to develop a further 0.7 tcf of gas.
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Uruguayan state petroleum company ANCAP has awarded three offshore blocks under its 2022 Open Bidding Round. APA Corp. picked up deepwater block AREA OFF-6, with a commitment to drill one well in the initial four-year term. Shell netted the other deepwater block AREA OFF-7, and the shallow-offshore AREA OFF2. The company plans to acquire new 3D seismic.
WEST AFRICA
Chariot Energy has handed Subsea 7 and Schlumberger FEED studies for the proposed Anchois gas field development offshore Morocco. The two companies’ Subsea Integration Alliance is working on the subsea production/export systems, while Schlumberger is managing the onshore components, including the central processing facility and flowlines to the shore crossing. The agreement could lead to the same duo managing EPCIC services for the development along with operations and maintenance of the facilities in the early production phase.
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Wildcat Petroleum (WCAT) has a reconnaissance agreement with the Petroleum Directorate of Sierra Leone covering 20 offshore blocks. The company will perform a desktop study, based on existing geophysical and geological data, to identify blocks prospective for oil, later applying for a petroleum exploration and production license. The acreage includes two uncommercial oil discoveries drilled by Anadarko, Tullow and Repsol.
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New Age (African Global Energy) has agreed to transfer its operated interest in the Etinde joint venture and Etinde permit offshore Cameroon to Perenco, an established production operator in the region. Etinde is in the shallow-water Rio del Rey basin, with numerous wells to date having tested wet gas and oil. The partners have been looking to commercialize the gas with potential exports to infrastructure offshore Equatorial Guinea.
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TotalEnergies and its partners in deepwater Block 17 off Angola have committed to the $850-million CLOV Phase 3 development. According to the country’s National Agency for Oil, Gas and Biofuels, this will extend the subsea production network to develop additional production from various fields, delivering 30,000 b/d at peak to the CLOV FPSO. Plans call for drilling of five wells in water depths of 1,100-1,400 m.
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Azinam South Africa, a subsidiary of Eco (Atlantic) Oil & Gas is preparing to spud the Gazania-1 exploration well offshore South Africa next month in Block 2B, 25 km offshore South Africa’s Northern Cape region in 150 m of water. Island Innovator will drill the well, which will target a stacked pay section updip of the block’s AJ-1 oil discovery, drilled by Soekor.
NORTH WEST EUROPE
Equinor has made its tenth discovery in the Johan Castberg license PL532 in the Barents Sea. Transocean Enabler drilled the Snøfonn Nord prospect, 5 km southeast of the Johan Castberg discovery well. Early analysis suggests 37-50 MMbbl of recoverable oil.
In the Norwegian Sea, Equinor and its partners will look to spend around $935 million developing six gas/condensate discoveries close to the Åsgard field hub, with combined resources estimated at 100 MMboe. Under the submitted development plan’s first phase, six wells will be drilled in 2024-5, with production from the first two wells flowing in 2025. A second phase would follow in 2029.
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London-based Orcadian Energy has issued a draft development plan for the 79-MMbbl Pilot oilfield in the UK central North Sea. The company proposes two wellhead platforms and 34 wells, connected to an FPSO, with power provided by a floating wind turbine. Ping Petroleum UK has taken delivery of the FPSO Sevan Hummingbird, which formerly served at the Chestnut oilfield in the UK central sector. The company is seeking to modify the facility to accommodate electrification from a “low-carbon” source on its 23-MMbbl Avalon development in the same region.
BLACK SEA
Production has started from the Midia project in the Romanian sector, which at peak should deliver 1 bcm/r to Romania’s National Transmission System. Operator Black Sea Oil & Gas developed the Ana field via an unmanned production platform with four platform wells, and the Doina field through a single subsea well. Production heads through a 126-km pipeline to a new onshore treatment plant.
In the Turkish sector, GSP Offshore’s jackup Uranus was due to reach the SSAB gas field this month for a five-well development drilling campaign from the field’s wellhead production platforms. In addition, operator Park Place Energy Turkey (a subsidiary of Trillion Energy International) will use the rig for re-entry/recompletion of two existing wells.
MIDDLE EAST
The Lebanese Petroleum Administration has extended the deadline for bids for Lebanon’s second licensing round to December 15, 2022. Eight blocks are on offer, all covered by the PGS Lebanon 3D Vision survey and MCD2 data.
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North Oil Co. (NOC) has awarded McDermott International FEED studies for the Ruya development offshore Qatar (previously known as Al-Shaheen Phase 3-Batch 1. The scope includes planning for the brownfield work and site surveys, and ensuring that the design of the modifications and the new greenfield facilities complies with regulations.
Qatar Energy has welcomed ConocoPhillips, Eni, ExxonMobil, Shell and TotalEnergies as partners in new ventures related to Qatar’s offshore North Field East gas development.
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Masirah Oil aims to drill exploration and development wells this fall on and around its producing Yumna oilfield in Block 50 offshore Oman. Recently, the company overhauled the facilities, bringing in a replacement mobile offshore production unit and a new storage tanker, which can accommodate the higher production volumes anticipated from the new wells.
ASIA-PACIFIC
PTTEP has completed a feasibility study for a potential carbon capture and storage (CCS) project at the Arthit gas field in the Gulf of Thailand. This examined storage capacity in certain geological formations. Pre-FEED is now under way, with CCS operations set to start by 2026.
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Hess Exploration and Production Malaysia has contracted Sapura Energy for transport and installation services for the offshore North Malay Basin development. The program covers a 51-km pipeline, two flexible pipelines, three wellhead platforms and subsea facilities.
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Petronas has signed a production-sharing contract for the North Ketapang block offshore/onshore East Java, Indonesia. The 3,132-sq km concession, in water depths of up to 100 m, was awarded under the second phase of the Indonesia Petroleum Bid Round 2021.
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Shell has sanctioned the $2.5-billion development of the Crux gas field in the Bonaparte basin offshore northwest Australia. The project will produce 1.6 tcf of gas, 60 MMbbl of condensate and 40 MMbl of LNG through an unmanned platform tied back to Shell’s Prelude FLNG vessel. According to Wood Mackenzie, Crux should keep the vessel operating at its nameplate production capacity into the 2030s, helping Shell satisfy rising Asian LNG demand.
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ExxonMobil has initiated a tender process for a decommissioning program offshore southeast Australia. This will detail Bass Strait platform removal activities ahead of decommissioning various facilities close to ceasing production. The initial tender phase applies to offshore heavy-lift contractors with the final commercial tender process to follow next year.
