Panoro Energy has entered into a rig contract agreement with Saipem for the Scarabeo 3 drilling rig to carry out the drilling and completion programme for the Aje field Cenomanian oil development.
The Aje field contains hydrocarbon resources in sandstone reservoirs at three main levels – a Turonian gas condensate reservoir, a Cenomanian oil reservoir and an Albian gas condensate reservoir.
The rig will be moved to the Aje drilling location and will be used to carry out well operation for the first phase of the oil field development, which includes two subsea production wells.
John Hamilton, chief executive of Panoro Energy, said: “Panoro is very pleased to be entering into the rig contract for the drilling and completion of the Aje development wells.
“We have been able to achieve a lower rig rate than was expected when the Final Investment Decision was made in October 2014.
“With well operations expected to commence in the next few weeks, we will continue moving towards our incremental growth strategy of converting Panoro’s discovered resource base into commercial production and generating positive cash flow in 2016.”
The well operations will comprise the completion of the existing Aje-4 well as a production well and the drilling and completion of a new well, Aje-5.
Well operations are expected to begin in the third quarter of 2015 and are likely to take 90 days to complete.
Once well operations have been completed, subsea equipment will be installed and the wells will be tied back to the Front Puffin FPSO, which is currently undergoing refurbishment in Singapore.
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