In the UK, seven appraisal wells and three exploration wells are currently active, including four new appraisal spuds, two of which are sidetracks. This brings the total spuds for this year to 25 E&A starts; comprising 13 appraisal and, with no change since the last report, 12 exploration wells.
For the second month in a row, the number of active mobile units remains at 37, but with three more than last month currently tied-up in E&A. Drilling operations for nine development wells are being conducted from platform facilities; the remaining 27 development wells being drilled from mobile units.
Notable new development drilling since last month includes a third production well on the Bacchus field (rig Rowan Gorilla VII), which was brought on stream in May, and a development well on East Rochelle (Ocean Nomad). Both wells were spudded at the start of the month. Development wells on Alba, Captain, Tweedsmuir and Tyne North are all in sidetrack.
West of Shetland
West of Shetland, Total is in the process of abandoning exploration well 205/9-2Re on the Palaeocene Tomintoul prospect (West Phoenix). The rig is next expected to move to nearby block 206/4 to drill the Lower Cretaceous Spinnaker prospect.
The drillship Stena Carron, continues protracted deep-water operations on BP’s North Uist/Cardhu exploration programme and is into its third, presumably mechanical, sidetrack, well 213/25c-1X, after more than 150 days.
Northern North Sea
Drilling in the Northern North Sea remains near moribund; the only activity, carried over from last month, being Xcite’s extended well test of its ultra-heavy oil Bentley accumulation from horizontal sidetrack well 9/3b-7Z (Rowan Norway).
Central North Sea
CNS activity has crept up since the last report, retaining its status as the most drilled arena this year; with two new appraisal wells this month, along with two further sidetracks. At the time of writing, there are six appraisal wells currently active (two of which constitute sidetrack wells), in addition to a single exploration well, 22/4b-6, targeting BG’s Upper Jurassic HP/HT White Bear prospect. By mid-month the Rowan Gorilla VI had reached a depth of over 4,900m (16,000ft).
Operations continue on Ithaca’s Hurricane appraisal well 29/10b-8 (WilHunter), where flow testing is reportedly underway, the well having reached a total measured depth of 3,285m (10,779ft), whilst Centrica continues drilling operations on its Bligh/Christian Deep appraisal, 21/20d-8 (Galaxy II).
Nexen has now sidetracked its northerly appraisal of Buzzard well 20/1-12Z (GSF Arctic 3). Maersk has also sidetracked its Ockley appraisal well 30/1d-12Z after 148 days of operations on pilot hole well 30/1d-12 and, in addition, has spudded appraisal well 15/18a-13 on its Brochel prospect (Ton van Langeveld). Finally, Apache has spudded well 22/7a-6 with the Rowan Gorilla VII, appraising its recent Pleistocene Aviat discovery.
Southern North Sea
There is no current drilling in the Southern Gas Basin, with Dana having wrapped-up operations on its Rotliegendes Platypus appraisal, well 48/1a-6 (Ensco 80), now suspended as a future producer. The rig has since moved on to carry out development drilling on the Tyne North compartment of the Tyne field for Iona.
Of the 25 E&A well spuds to date this year, 16 were in the CNS.
However, despite this relative plethora of activity, with six appraisal wells and one exploration well currently active, it is perhaps, to some degree, emphasised by the contrast with the lack of activity in both the Northern and Southern sectors, where there is currently no drilling taking place.
Activity in the West of Shetland sector remains limited, but steady, with two wells active. Whilst the currently diminished gas prices may explain the present inactivity in the SNS, the fact that the NNS joins the Gas Basin in having no drilling should be rectified come next month, given the current new wells forecast for the area.
Norway: double the oil, double the toil
In the Norwegian sector there are five exploration wells currently drilling … a 66% increase since last month, along with one appraisal well. There have been 23 E&A starts this year.
North Sea
In the North Sea three exploration wells are currently active, along with one appraisal well, together accounting for 66% of the current activity on the NCS. Wintershall’s Kakelborg exploration well 33/6-4 was abandoned early-month as a dry hole. The Borgland Dolphin has since moved on to drill Total’s well 34/6-2 S on the Guarantiana prospect, where hopes are pinned on a target stacked reservoir sequence of Brent, Cook, Statfjord and Lunde intervals.
Lundin’s appraisal of the giant Johan Sverdrup accumulation continues, with well 16/2-13 S now a month into operations utilising Transocean’s Arctic semi-submersible. Just 11km to the northwest, the Ocean Vanguard continues drilling for Statoil on the Geitungen prospect where an oil find has been made in the Jurassic.
Norwegian Sea
In the Norwegian Sea one well is active, with Centrica’s Cooper exploration well 6506/11-9 S (rig West Alpha) having reached a total depth of 5,330m (17,486ft) TVDSS after recording hydrocarbons in the target Middle Jurassic Garn Formation, with a drill-stem test to evaluate productivity having been undertaken and results expected shortly.
Barents Sea
The only drilling activity in the Barents Sea is that of Eni’s exploration wildcat, well 7220/10-1, on the Salina prospect, which is interpreted as lying on the same geological trend as the Skrugard and Havis discoveries. Once operations are complete, the brand new Scarabeo 8 will remain in the Barents to carry out production well drilling on Eni’s Goliat field development.
The one completion to date this month, Wintershall’s Kakelborg exploration well 33/6-4, was a dry hole. Det norske’s Ulvetanna exploration well also turned out to be a duster.
However activity appears to be on the rise, with both the number of discoveries (two) up by 100% on last month, along with the number of active E&A wells (also up by 100%), with six compared to last month’s three. Furthermore, Lundin’s latest Johan Sverdrup appraisal well is expected to be a success.
All in all, activity during the remainder of the third quarter looks set fair.
Despite this increase, the current levels of drilling activity in the Norwegian sector remain weak in comparison to those in the UK, the typically higher rig rates the sector experiences providing a possible explanation.
The Ministry of Petroleum and Energy has indicated that reduced operating costs, in addition to a cut in overall rig rates, may encourage a larger activity pool, although whether a future reduction in costs of this type will have the desired effect remains to be seen.
Given Norway’s favourable exploration tax break of 78%, one would imagine a marginal decrease in rig costs would do little to muster any further significant drilling activity.
David Moseley’s column is courtesy of North Sea analysts Hannon Westwood
Recommended for you
