Afren said it received a “disappointing” competent person’s report of its Barda Rash field.
As part of the company’s annual review, the Barda Rash is expected to show a material reduction to previous estimates of reserves and resources, eliminating gross 2P reserves of 190 mmbbls and revising gross 2C resources from 1,243 mmbbls to around 250 mmbbls.
This change is due to the 2014 reprocessing of 3D seismic data shot in 2012.
The wells have produced higher water cuts than expected, with the firm facing operational challenges in drilling fractured reservoirs.
Production could potentially be achieved with the implementation of recovery schemes requiring significant capital expenditure.
Toby Hayward, chief executive, said: “We are naturally disappointed with the CPR and will now consider our strategic options for Barda Rash. Meanwhile, we will continue to focus on our core portfolio in Africa and allocate capital to our highest cash return projects.”
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