From a gas discovery in Austria to a farm-in in Turkey, below is a compilation of the latest headlines in the E&P space.
Activity headlines
OMV Logs Gas Discovery In Austria
![OMV Exploration Wittau](/sites/default/files/inline-images/OMV-Exploration-Wittau.jpeg)
OMV announced on July 28 a new natural gas discovery with its Wittau Tief-2a exploration well in Lower Austria.
The well was drilled to a final depth of 5,000 m after five months of operations.
Preliminary evaluation indicates potential recoverable resources of 28 MMboe, which OMV said represents the largest natural gas discovery in the country in four decades. OMV said it is considering different options to further appraise the field, as well as a fast-track development in conjunction with the OMV-operated natural gas facility in Aderklaa, situated 10 km from the Wittau Tief discovery. After full development of the discovery, OMV expects its natural gas production in Austria to increase by 50%.
Contracts and company news
Trillion Farming into Turkish Blocks
![Trillion FarmIn Turkey Map](/sites/default/files/inline-images/Trillion-FarmIn-Turkey-Map.png)
Trillion Energy International Inc. announced on July 31 it has entered into a farm-in agreement with Derkim Poliüretan Sanayi ve Ticaret AS to earn 50% interest in three oil exploration blocks onshore Turkey.
The oil blocks cover 374,325 acres in the newly defined Cudi-Gabar petroleum province, Southeastern Turkey. To earn the 50% interest, Trillion must acquire 351 km of 2D seismic in 2023 and drill 4 wells in 2024.
Turkey’s portion of the Cudi-Gabar province — which is central to an active petroleum system extending up from Iraq and Syria — contains several major oil fields, including Sehit Esma Cevik, discovered in 2022 and Sehit Aybuke Yalcin, discovered in 2023.
Block M47C3, C4, the Eastern Block, is 15 km by 30 km and is 12 km from the newly discovered Sehit Aybuke Yalcin Oil Field, which contains a reported 1 Bbbl original oil in place, and 11 km from the Sehit Esma Cevik Oil Field, reported to contain 250 MMbbl. Blocks M46C and M46D, or the Western Blocks, are a combined area of 30 km by 60 km and located 30 km west of the Eastern Block.
No economic discoveries have yet been made on the oil blocks Trillion is farming into.
Valaris Reactivating Drillship for 12-Well Contract
Valaris Ltd. announced on July 31 that it will reactivate the VALARIS DS-7 after receiving a $364-million, 12-well contract offshore West Africa for the drillship.
The contract is expected to begin in second-quarter 2024 and last about 850 days. The contract requires minimal customer-specific upgrades to the rig and does not include the provision of any additional services.
“This most recent award represents the seventh contract awarded to one of our high-quality floaters requiring reactivation since mid-2021,” Valaris President and CEO Anton Dibowitz said in a press release. “We continue to take a disciplined approach to rig reactivations, and we expect this contract to generate a meaningful return over the initial firm term.”
Recommended Reading
Liberty Energy Warns of ‘Softer’ E&P Activity to Finish 2024
2024-07-18 - Service company Liberty Energy Inc. upped its EBITDA 12% quarter over quarter but sees signs of slowing drilling activity and completions in the second half of the year.
Upstream, Midstream Dividends Declared in the Week of July 8, 2024
2024-07-11 - Here is a selection of upstream and midstream dividends declared in the week of July 8.
Trio Chairman Robin Ross Named CEO Less Than a Month After Return
2024-07-15 - Robin Ross, who last month returned to Trio Petroleum as board chair, has been named CEO while predecessor Michael Peterson will remain as a consultant.
Equinor Subsidiary Contracts Valaris Drillship Offshore Brazil
2024-07-22 - Valaris and Equinor Energy do Brasil’s multi-year contract is valued at approximately $498 million.
Archrock Offers Common Stock to Help Pay for TOPS Transaction
2024-07-23 - Archrock, which agreed to buy Total Operations and Production Services (TOPS) in a cash-and-stock transaction, said it will offer 11 million shares of its common stock at $21 per share.