linked to an FPSO 90 km ( 56 mi) offshore, with production capacity
of 400 MMcf/d and a dr y gas pipeline connecting to the Israeli natural
gas system. Estimated capex is $1. 3-1. 5 billion, with first gas slated
for 2020. Six wells should then be drilled on Tanin.
Eni will assume 50% of subsoil use rights for the Isatay block in the
Kazakh sector of the Caspian Sea from JSC KazMunayGas. The two
companies will jointly operate the block, thought to potentially hold
large hydrocarbon resources, and will apply proprietary exploration
techniques developed by Eni.
ADES International Holding has a three-month drilling contract
for Belayim Petroleum in the Gulf of Suez offshore Egypt, using the
jackup ADMARINE 88. Another ADES jackup, ADMARINE VIII,
contracted to Petrozenima, was due to start a fracking job last month
on the North July well in the same region.
Qatar Petroleum (QP) plans to double the size of a new develop-
ment project on the southern part of the offshore North field, first
announced in April, in order to lift Qatar’s LNG production to 100
MM tons/yr. The investment would increase the field’s gas output
by 20% to 4 bcf/d.
Total and QP have jointly assumed the reigns of the offshore Al-Shaheen oilfield, 80 km ( 50 mi) north of Ras Laffan, from previous
operator Maersk Oil under their North Oil Company partnership. A
new phase of development, due to start this summer, involves drilling 56 wells with two rigs initially, to be joined by a third at the start
of next year.
National Iranian Oil Co. (NIOC) and Total have signed a 20-year
contract for development and production of Phase 11 of the South
Pars gas/condensate development in the Persian Gulf. This was the
first signing involving a foreign oil company under the new Iranian
Petroleum Contract. Total operates the development, in partnership
with CNPC and NIOC subsidiary Petropars.
The first phase, with an estimated cost of around $2 billion, calls for
30 wells and two wellhead platforms connected to existing onshore
treatment facilities via two subsea pipelines. Changing reservoir
conditions could in time necessitate the addition of 20,000-metric ton
( 22,046-ton) offshore compression platforms, a first for South Pars, and
the largest ever built for the Persian Gulf. Analyst Wood Mackenzie
expects Phase 11 to recover more than 10 tcf of sweetened gas and
450 MMbbl of condensate, with potential spin-offs to local Iranian
contractors in terms of enhanced engineering capabilities.
Another European major, Eni, has reportedly agreed to perform
appraisal studies with NIOC for development of the giant Kish gas/
condensate field, discovered in 2006, close to Kish Island in the
GE Oil & Gas has agreed to collaborate on development projects
in Area 4 off Mozambique with EEA, a joint venture between Eni
and CNPC. EEA has a 70% operated stake in the concession in the
Rovuma basin. GE will initially supply subsea production systems and
associated services for the recently contracted Coral South FLNG
vessel, which will have an LNG capacity of around 3. 4 MM tons/yr,
supplied through six subsea wells. The agreement extends to future
upstream projects in Area 4.
Reliance Industries and BP have sanctioned development of the
R-Series dry gas fields in block KGD6, 70 km ( 43 mi) offshore eastern
India in water depths of more than 2,000 m ( 6,562 ft). The partners plan
a subsea tieback to the block’s existing control and riser platform. The
R-Series (D34) project should produce up to 425 MMcf/d and come
onstream in 2020. RIL and BP expect to submit development plans
to India’s government for two further projects before year-end: the
three combined carry an estimated price tag of $6 billion, and should
eventually add 1 bcf/d to the country’s domestic gas production.
ONGC has yet to receive government approval for its takeover of
GSPC’s Deen Dayal West field in the same KG basin, according to a
recent statement by chairman D.K. Sarraf. Assuming this does come
through, the company plans to further develop the field and integrate
the facilities with Cluster 1 on block KG-DWN-98/2.
Thailand was due to announce terms for an auction to take over
concessions to operate the Bongkot and Erawan gas fields in the Gulf
of Thailand. The current respective operators are PTTEP and Chevron, with the concessions due to expire in 2022 and 2023. Combined
output is 2. 2 bcf/d.
JX Nippon Oil & Gas Exploration has produced first gas/condensate
from the Layang field in block SK10 offshore Sarawak, at an initial rate
of 12,000 boe/d. Layang is 7 km ( 4. 3 mi) east of
the producing Helang gas field. Production from
both fields heads through subsea pipelines to the
MLNG Tiga liquefaction plant in Bintulu, Sarawak.
Shell’s Prelude floating LNG vessel has de-
parted the Samsung Heavy Industries shipyard
on Geoje Island, South Korea, and was headed
to the Prelude offshore gas field, 475 km (295
mi) northeast of Broome in Western Australia.
On arrival, pre-installed mooring chains were
due to be secured to the facility.
Origin Energy has completed the final phase
of the BassGas Mid Life Enhancement project
in production license T/L1 offshore Tasmania.
This involved the addition of a compressor sys-
tem and condensate pumping unit at the Yolla-A
platform, with compression of Yolla’s gas already
under way. •
The Prelude FLNG vessel at Samsung Heavy
(Photo courtesy Shell)