Husky Oil Operations Ltd. and partner Petro-Canada Monday applied to the Canada-Newfoundland Offshore Petroleum Board to develop White Rose oil field, 350 km offshore Newfoundland in 115-130 m of water.
Husky said it was uncertain whether North White Rose gas field was commercially viable. Both are in the Jeanne d'Arc basin on the Grand Banks. Production of the oil field could begin in 2003-2004.
Last year, the partners awarded the front-end engineering design contract for the White Rose FPSO to Maersk/Seabase, St. John's, Newf. (OGJ Online, Oct. 11, 2000). The facility could store 700,000-850,000 b/d of oil, which will be offloaded to a shuttle tanker.
Operator Husky said Monday that major components of the FPSO and related systems are on tender.
Husky plans to drill 10-14 production wells and 8-11 water and gas injection wells in the South White Rose reservoir to develop the field. The wells will be drilled in phases over 4-6 years. The company said four to six production wells, one to three water injection wells, and a gas injection well will be required for initial oil production. Produced gas will be reinjected.
In the application, Husky said it would maximize industrial benefits for Newfoundland, Labrador, and eastern Canada, including local hiring.
"Confirmation that development costs are within the economic framework of the project and internationally competitive is a central part of moving the project forward," said Will Roach, Husky's General Manager, East Coast Development.
Three wells (N-22, J-49, and L-61) were drilled in the White Rose area in 1984-1986. A fourth well, E-09, was drilled in 1987-1988. It found more than 90 m of net oil pay, said Husky.
Two delineation wells (L-08 and A-17) were drilled in the South White Rose oil pool in 1999. A third well (N-30), drilled in the northern part of White Rose in 1999, provided data on the northern limit of the South White Rose oil pool.
Husky estimates the White Rose reserves at 250 million bbl of 30�-gravity crude. It expects project life span of 12-14 years and peak production of 75,000-110,000 b/d.
Husky Oil Operations, which owns 82.5% of the White Rose field, is a wholly owned subsidiary of Husky Energy Inc. Petro-Canada owns the other 17.5%.