BP to commence Block 61 drilling by year-end |
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Energy giant steps up appraisal programme targeting Khazzan/Makarem gas fields MUSCAT -- Energy giant BPBP
plans to drill the first of several appraisal wells this year targeting the potentially prodigious Khazzan and Makarem gas fields in central Oman. If proven to be rich and commercially developable, the fields could provide a potentially vast supply of natural gas to feed the country's burgeoning appetite for energy and feedstock. Mindful of the strategic importance of this project to sustaining the Sultanate's rapid economic growth, BPBP
says it is ramping up efforts to appraise and develop the fields. "We understand the importance of this project to Oman, and are working hard to accelerate the programme as much as we can," said Michael Townshend, President, BPBP
Oman. "It is in all of our interests to appraise these fields as soon as possible and, if successful, bring it to full field development.We need to do this in a safe manner, as well as in a way that ensures economic success for the Oman Government and ourselves. We are encouraged by the support extended by the Government and the Ministry of Oil and Gas," Townshend added in comments to the Observer. In February 2007 the international oil major was awarded the concession to appraise and develop gas reserves contained within Block 61, a 2,800 sq km area that includes the Khazzan and Makarem gas fields. Successful development of these 'tight' gas reservoirs could open up around 30 trillion cubic feet (TCF) in potential gas reserves. Already, contracts totalling around $150 million have been awarded by BPBP
Oman for a range of appraisal activities.Global Geophysical Services of the United States is currently implementing the contract for seismic acquisition covering most of Block 61's acreage. "This is our first field operation," commented Townshend. "We are evaluating the whole of the block by taking seismic images in what is the world's largest land-based 3D wide azimuth seismic survey. This operation will last another six months." Drilling will commence in the fourth quarter of this year, with Oman-based Dalma Energy & CoDalma Energy & Co
supplying two rigs for the operation. Initially two appraisal wells are planned, with four additional wells envisioned during 2009. "We will have the first set of results in the first quarter of 2009 and only then will we truly get to know how much gas can we extract from these very tight gas reservoirs."The rigs, Townshend explained, will be specially outfitted to drill as far deep as 5km through some of the hardest rock ever known anywhere on Earth. "We know that Oman is blessed with some of the hardest rocks known to mankind, so we need to have as much horsepower as possible to drill through this very hard rock. Accordingly, the rigs will be beefed up with top drives and additional mud pumps." Over the next five years, BPBP
plans significant investment in appraising the development potential of the Khazzan and Makarem fields. A joint decision by BPBP
and the Oman government to proceed with full field development is expected before early 2013. Appraising and developing Block 61's tight gas reservoirs present formidable hurdles, says Townshend."It will involve a lot of technical challenges in terms of how to get the gas out of the ground efficiently and cost effectively. Drilling efficiently through hard rock, completing the well, fracturing the extremely tight rock, stimulating the reservoir, and so on, will all pose major challenges." Towards this end, BPBP
is bringing in expertise from its tight gas operations in North America, Algeria and elsewhere. "We are bringing BPBP
's global expertise to bear on this project - whether it is fracturing, stimulation, hard rock drilling, seismic, and so on. Block 61 represents a very considerable hydrocarbon prize. We need to make sure we get this one right."
© Oman Daily Observer 2008
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