PACIFIC RIM

Tembakau well test succeeds, hits gas

A well test has been successfully completed on the Tembakau 2 appraisal well with the West Prospero jackup offshore Malaysia after the 2012 Tembakau discovery. Operator Lundin Petroleum said the shallow-water Tembakau 2 well, which was drilled 3.7 km (2.3 miles) south of the original discovery to test stacked Miocene gas reservoirs in the PM307 license area offshore Malaysia, encountered 22 m (72 ft) of gross pay sands in four intervals and produced up to 450 Mcm/d (15.9 MMcf/d) of gas during testing.

Searcher starts seismic survey in Philippines

Searcher Seismic in cooperation with the Philippines Department of Energy has commenced acquisition of the Pinatubo multiclient 2-D seismic survey in the West Luzon Basin, Philippines, a news release said. The 3,843-km (2,388-mile) survey covers a 10-km-by-20-km (6.2-mile-by-12.4-mile) grid and includes coverage over the PECR5 bid round blocks 8, 9, 10 and 11. It is expected to tie to the regional Pala-Sulu 2-D seismic survey acquired by Searcher in 2011. Acquisition is due for completion in late August.

SOUTH AMERICA

Petrobras starts drilling in Libra area

Petrobras and the Libra consortium started drilling the first exploration well—3-RJS-731—in the Libra area. This is the first of two wells planned for the first phase of the Minimum Exploration Program agreed with Brazil’s National Oil, Natural Gas and Biofuels Agency. The well is positioned about 170 km (106 miles) off the coast of Rio de Janeiro state. Fundamental tests will be carried out to obtain information needed to develop the field.

Statoil enters Colombia with latest bid round

ExxonMobil Corp., Shell and Repsol were among top bidders for offshore blocks in Colombia’s 2014 oil round as explorers stayed away from shale areas. The round marked the entry of Statoil to the South American state that’s betting on offshore and shale deposits to boost reserves amid a failure to make significant onshore discoveries in recent years. Twenty-six blocks, or 27% of the 95 blocks on offer, received bids, below the 30% the government had been hoping for. Five deepwater and ultradeepwater blocks received offers out of a total 19 offshore that were offered. Anadarko Petroleum Corp. was the sole bidder for three blocks, with a joint offer between Repsol, ExxonMobil and Statoil the sole offer for another. A joint bid from Shell and Colombia’s state-controlled Ecopetrol was the highest bid for a Caribbean site.

AFRICA

Shell produces first oil from Nigeria project

Shell’s deepwater subsidiary, Shell Nigeria Exploration and Production Co. Ltd. (SNEPCo), started oil production from the first well at the Bonga North West deepwater development off the Nigerian coast, a press release said. Oil from the Bonga North West subsea facilities is transported by a new undersea pipeline to the existing Bonga FPSO export facility. The Bonga FPSO unit has been upgraded to handle the additional oil flow from Bonga North West, which is expected to contribute 40 Mboe/d at peak production.

Eni detects gas, condensate offshore Gabon

Eni has made a gas and condensate discovery in the Nyonie Deep exploration prospect located in Block D4 about 13 km (8 miles) from the coast of Gabon, according to a press release. Preliminary estimates suggest the new gas discovery is significant, with initial potential in place estimated at 500 MMboe. The discovery was made in the presalt of Gabon through the NFW Nyonie Deep 1 well. The well encountered a thick hydrocarbon-bearing section (320 m [1,050 ft]) in the presalt clastic sequence of Aptian age. The structure, which extends more than 40 sq km (15 sq miles), covers two offshore exploration blocks, both operated by Eni with a 100% stake. The discovery will be followed by an appraisal campaign to assess its potential.

NORTH AMERICA

Mexico Lower House passes last oil bill

Mexico’s Lower House passed a final package of bills to regulate an end to the nation’s state oil monopoly, sending the legislation to the Senate for final approval after making minor changes on pension and retirement issues. Lawmakers modified the bill to make the age when workers at state-owned Pemex can retire rise gradually to the same as for other federal employees. They also decided the company needs to have its pension funds audited, which, like the age requirement, is contingent on the government assuming some Pemex debt.

Blackbird farms out Mantario interest

Blackbird Energy Inc. has entered into a farm-out agreement with a private oil and gas investment company to drill the first two horizontal wells at Blackbird’s Mantario Oil Project in west-central Saskatchewan, Canada. The private company will pay an aggregate of about $1.6 million or 100% of the costs to drill, complete and equip two horizontal wells with a minimum of 600 m (1,969 ft) of horizontal length to earn a 50% working interest in the project.

EUROPE

OMV Petrom strikes oil in Black Sea

The Marina 1 well has hit oil in the Black Sea, OMV Petrom said in a news release. The exploration well Marina 1 was drilled 60 km (37 miles) from shore in Istria XVIII Perimeter to a depth of about 2,150 m (7,054 ft) below the seabed. First estimates from production tests show a potential production per well of 1,500 boe/d to 2,000 boe/d. After the completion of tests, the Marina 1 well will be plugged and abandoned.

Ithaca acquires interest in three UK fields

Ithaca Energy Inc. has completed the acquisition of three U.K. producing oilfield interests from Sumitomo Corp., a press release said. Ithaca has acquired Summit Petroleum Ltd., a subsidiary company of Sumitomo, which holds the Cook (20%), Pierce (7.48%) and Wytch Farm (7.43%) field interests that have been acquired. The net consideration paid at completion was $163 million taking into account working capital and net cashflows since the transaction effective date of Jan. 1, 2014.

GULF OF MEXICO

Shell makes third discovery in Norphlet

Shell made its third major discovery in the Norphlet Play in the deepwater Gulf of Mexico with the Rydberg exploration well, a press release said. The Rydberg well is located 120 km (75 miles) offshore in Mississippi Canyon Block 525 in 2,280 m (7,479 ft) of water. It was drilled to a total depth of 8,038 m (26,371 ft) and encountered more than 122 m (400 ft) of net oil pay. Shell is completing the full evaluation of the well results but expects the resource base to be about 100 MMboe.

SOUTH ASIA

PPL joint venture finds gas, condensate in Pakistan

Pakistan Petroleum Ltd. (PPL), the operator of Gambat South Block (2568-18) with a 65% working interest, and its joint venture partners Government Holdings Private Ltd. (25%) and Asia Resources Oil Ltd. (10%) have made a gas and condensate discovery over its exploration well Sharf X-1 located in the Sanghar District in Sindh, Pakistan. This is the third discovery in the block after gas and condensate discoveries from Wafiq X-1 and Shahdad X-1, a PPL press release said.