Offshore staff
LONDON — Norway continues to be a global hotspot for offshore exploration drilling, according to Westwood Global Energy Group’s Norway State of Exploration report.
Between 2012 and 2021, the report identified 298 exploration wells drilled in Norwegian waters at a total estimated cost of $15.4 billion.
The average commercial success rate (CSR) over the period was 24% while the technical success rate (TSR) was 49%. There were 71 commercial discoveries with combined resources of 3.3 Boe, at a drilling finding cost of $4.6/boe.
However, there were only six commercial finds of more than 100 MMboe, reflecting the decreasing discovery size as the shelf matures.
According to Emma Cruickshank, Westwood's head of research of NW Europe, the best performing basin was the northern North Sea in terms of CSR (34%) and discovered volumes (1.1 Bboe).
The Barents Sea delivered more than 1 Bboe of commercial resources at the lowest finding cost, compared to other basins, but disappointingly few discoveries.
Most drilled and best performing play in terms of commercial success and discovered resources was the Middle Jurassic with 1.7 Bboe from 91 wells and a CSR of 36%.
Infrastructure-led exploration (ILX) drilling accounted for about 60% of all activity and spending during the period, contributing 2.1 Bboe with a CSR of 35%. Westwood expects a greater focus on ILX drilling as companies look to sustain production levels from older offshore, with an increased focus on lower risk, short-cycle opportunities.
This year 35 exploration wells could be drilled offshore Norway, targeting total resources of 2.5 Bboe.
06.20.2022
