KeyFacts Energy continually monitor planned operational activity and will feature regular updates that provide an instant guide to work programs, drilling campaigns and seismic acquisition.

Longboat   l   Norway

Drilling of the dual-target Ginny and Hermine prospects (Company 9%) is scheduled to commence in December 2021, using the West Hercules semi-submersible drilling rig operated by Equinor. These prospects have a combined target gross mean prospective resource of 68 mmboe with further potential upside estimated at 129 mmboe on a gross basis. The chance of success associated with these prospects are 27% and 22%, respectively, with the key risk being related to fault seal and phase risk.

2022 Drilling Programme
In September 2021, Longboat confirmed further details of its 2022 exploration drilling programme which will see the Company participate in three additional wells.

The Company has recently been informed by Equinor, the operator, that the Deep Sea Stavanger semisubmersible drilling rig has been contracted to drill the Kveikje (Company 10%) and Cambozola (Company 25%) exploration wells in H1 2022.

Kveikje is a low-risk, Paleocene injectite play located near the Fram infrastructure offering opportunities for rapid commercialisation. Cambozola is a significant, play-opening well located near some of the largest fields on the Norwegian Continental Shelf.

Additionally, following the well commitment made on Copernicus (Company 10%) at the end of August, the acquisition of a site survey is anticipated to be acquired shortly which will facilitate the drilling of an exploration well during 2022 by operator PGNiG. 

The exploration programme over the next 18 months provides an opportunity to gain exposure to a drilling portfolio of seven wells targeting net mean prospective resource potential of 104MMboe with an additional 220 MMboe of upside.

IOG   l   UK

In September 2021, IOG announced a proposed placing and Subscription to raise gross proceeds of approximately £8.5 million.

By conducting the Fundraise now, the Company will be able to elect to continue into the next phase of the licence and also exercise an extension option embedded in its Noble Hans Deul jack-up rig contract, which was executed in 2020 at a time of historically low rig rates. If the option is exercised by 30 September 2021, this would enable the Company to drill this well at the same rig rate as the Phase 1 development programme. The Kelham North and Kelham Central well is planned to follow a Goddard appraisal well to be drilled directly after the first two Southwark production wells, enabling the Company to benefit from significant drilling efficiencies.

As part of the same continuous drilling programme, the Company is also planning to drill an appraisal well to assess the extent of the Goddard field and the full commercial potential of its proposed Northern Hub, which would comprise Goddard, the Goddard Flanks and Southsea. The Company's 50% share of the costs of this appraisal well are intended to be funded from cash flows. The primary rationale for appraisal is to optimise the Goddard development in terms of platform location and size, and number of wells.

Aker BP   l   Norway

Aker BP continues preparing for final investment decisions for 10-12 new field development projects by the end of 2022. The largest of these is the coordinated development of the NOAKA area. In total, these projects cover more than 500 million barrels of new resources net to Aker BP.

Western Gas   l   Australia

Western Gas has reached agreement with Global Oil and Gas to fund 50% of the drilling costs for the Sasanof-1 exploration well.

The Sasanof-1 exploration well is in WA-519-P in Commonwealth waters about 207 km northwest of Onslow, Western Australia, and is scheduled to drill in Q1 2022.

Independent assessment by ERC Equipoise Ltd (ERCE) of the Sasanof Prospect estimates a 2U Prospective Resource of 7.2 Tcf gas and 176 Million bbls condensate (P501), with a 32% Chance of Success. The high case 3U Prospective Resource estimate is for 17.8 Tcf gas and 449 Million bbls condensate (P10).

Africa Oil   l   Kenya

Africa Oil and its JV Partners have presented a draft Field Development Plan ("FDP") to the Government of Kenya ("GoK") ahead of the plan to submit a finalised FDP by the end of 2021, in line with licence extension requirements provided by the GoK in December 2020. Africa Oil and its JV Partners continue to work collaboratively with the GoK on land and water access and on the necessary commercial agreement and are waiting on the final approval of the Environmental and Social Impact Assessment ("ESIA") from the regulatory authorities.

At the same time Africa Oil and its JV Partners are actively seeking strategic partners for the project. Based on the revised plan, Africa Oil believes that this project is an attractive commercial prospect for investors looking to access the East Africa oil and gas sector in both the upstream and midstream. It is intended that a strategic partner will be secured ahead of a Final Investment Decision ("FID"). 

Challenger Energy   l   Trinidad

Subject to successful production testing of Saffron-2, and subject to approval of a requisite development plan by the authorities in Trinidad, Challenger will seek to develop the Saffron field in a phased approach. The initial phase will involve drilling between five to nine production wells at an estimated capital cost of US$12 - US$20 million, the pace of which will largely depend on permitting and rig availability. This initial program of activity is projected to achieve an average daily production of 1,000 - 1,500 bopd which, based on a US$60/bbl oil price, could generate annualised net operating cashflows of up to US$12 million going forward.

Thereafter, the current anticipated full-field development for the Saffron project could ultimately comprise up to 30 wells in total, with a projected peak production of approximately 4,000 bopd, potential generating annualised net operating cashflows of up to US$25 million.

Chariot   l   Morocco

Chariot has signed a contract with Stena Drilling to use its Stena Don drilling rig for the planned Anchois gas appraisal well within the Lixus licence, offshore Morocco, with operations due to commence in December 2021.

Equinor   l   Norway

The plan for development and operation (PDO) of the Breidablikk field in the North Sea has been approved by Norwegian authorities. Field investments are approximately NOK 18.6 billion. Production from the field is scheduled to start in the first half of 2024.

Equinor and its partners Petoro, Vår Energi and ConocoPhillips Skandinavia, submitted the development plans for the area to the authorities in September 2020. Estimated recovery from the field is around 200 million barrels of oil.

Energean   l   Israel
Energean Israel Limited, has signed a contract with Stena Drilling for its 2022 - 2023 growth drilling programme offshore Israel, which is expected to target the derisking of unrisked prospective recoverable resources of over 1 billion barrels of oil equivalent ("boe").

The contract is for the drilling of three firm wells and two optional wells, with the first firm well expected to spud in 1Q 2022. The firm wells are all expected to be drilled during 2022, and consist of:

• The Karish North development well, a key part of the Karish North development. The scope includes re-entry, sidetracking and completion of the previously drilled Karish North well and completion as a producer. The Karish North development will commercialise 33 Bcm (1.2 Tcf) of gas plus 31 mmbbls of liquids 2P reserves (a total of 243 mmboe) and is expected to deliver first gas in 2H 2023.
• The Karish Main-04 appraisal well, which is expected to target further prospective volumes within the Karish Main Block, including the potential oil rim that was identified as part of the KM-03 development well drilling. Total unrisked recoverable volumes estimated to be targeted by the well are 166 mmboe.
• The Athena exploration well, located in Block 12, is situated directly between the Karish and Tanin leases. Athena is estimated to contain unrisked recoverable prospective resource volumes of 20 Bcm (0.7 Tcf) of gas plus 4 mmbbls of liquids; of which the primary target is estimated to contain unrisked recoverable prospective resource volumes of 10 Bcm (0.4 Tcf) of gas plus 2 mmbbls of liquids with a 70% geological chance of success. Success at Athena would be expected to significantly de-risk approximately 90 Bcm (2.5 Tcf) plus 19 mmbbls of remaining unrisked recoverable prospective resource volumes located within Block 12 and Tanin.

PGNiG   l   UAE

PGNiG has started the second stage of exploration works in Ras Al Khaimah Emirate. The project assumes drilling an exploration well to a maximum depth of about 3,500 metres. Its location will be determined on the basis of the results of the analysis of the three-dimensional seismic image. PGNiG is beginning preparations for tenders, which will select contractors for drilling and other services. The drilling is planned to commence in Q3 2022.

ReconAfrica   l   Namibia

With the confirmation of a working conventional hydrocarbon system within the first of a potential five sub basins, ReconAfrica and its joint venture partner NAMCOR will be using drilling and 2D seismic data to determine the planning and execution of future drilling locations. In addition to potential production testing results from the 6-2 and 6-1 wells, future drilling locations will target potential hydrocarbon bearing structures from the seismic program with the purpose of achieving commercial levels of oil and natural gas production. It is expected that once the seismic data is acquired, an additional one or two wells will be drilled in 2021 and a further two to four wells drilled in the first half of 2022. Additionally, the acquisition and integrated interpretation of the 2D seismic data will facilitate a farm out joint venture process for the Company which will further accelerate the overall evaluation, exploration, and development of the 8,500,000 acres in Namibia and Botswana.

Petro Rio   l   Brazil

Petro Rio has signed with Ocyan Drilling S.A. a contract to hire the NORBE VI drilling rig for the Frade Field Revitalization Campaign and the Wahoo Field development.

The contract will begin in March 2022 and will enable the drilling of 3 wells in the Frade Field (1 producer and 2 injectors) followed by the drilling of 4 producer wells in the Wahoo Field. The contract’s initial period will be of 500 days and PetroRio will have an option to extend this term for an additional 350 days, divided into periods of 70 days each.

ARA Petroleum   l   Tanzania

ARA is progressing plans for the 2021 seismic acquisition programme including the tendering and contracting work and for the drilling of the Chikumbi-1 well in early 2022. Both of these activities will significantly advance the asset towards a final investment decision on field development which the joint venture aims to take in late 2022, targeting first gas by 2025.

Bass Oil   l   Indonesia

A new program of mainly development drilling in onshore oilfields in Indonesia has been announced by Australia’s Bass Oil as the Melbourne-based producer looks to double its Indonesian oil output over 2022.

In addition, an updated review of the Company’s reserves and resources, has identified significant potential expansion to the west of the limits of the existing Bunian oil field.

The planned new drilling program, consisting of one firm well and an additional two contingent wells commencing late this year, is the first major new work by Bass on its 55% held oil field interests in southern Sumatra since the commencement of the COVID pandemic.

The Company said today a firming in global oil prices this year and the outcome of the resources review have now encouraged it to plan financing and scheduling of a new expansion drilling program aimed at building daily output from ~500 barrels of oil per day from four production wells within its Tangai Sukananti KSO, hosting the producing Bunian and Tangai oil fields.

Cairn   l   UK, Mexico, Côte d’Ivoire and Mauritania

In 2021, Cairn is planning a drilling programme in both Mexico and the UK and 2D seismic acquisition in Côte d’Ivoire

• In Mexico, operator Eni will drill an exploration well on Block 10 and there is an optional drilling opportunity for an appraisal well of the Saasken discovery (Cairn 15% WI)
• In the UK, Cairn will participate in the Shell-operated Jaws exploration well on P2380 (Cairn 50%WI)
• In Côte d’Ivoire, Cairn has assumed Operatorship (90% WI) in blocks CI-301 and CI-302 from Tullow which has exited both licences. Cairn remains in the Tullow-operated CI-520 (30% WI). The JV has exited blocks CI-518, CI-519, CI-521 and CI-522 effective end December 2020 with all minimum work commitments fulfilled. The 2021 work programme for blocks CI-301 and CI-302 is focussed on completing the planned 2D seismic acquisition, once it is safe to do so.
• Cairn has signed an agreement in Mauritania to operate a licence on block C7 (90% working interest), a large offshore exploration block in a proven hydrocarbon province. The initial two-year work programme will involve reprocessing 1400 km² of existing seismic data.

Energean   l   Iraq

Energean is tendering a rig for three firm plus two optional wells in 2Q 2021, with the first well expected to spud in late 1Q 2022.

The first well is expected to target the 20 Bcm (0.7 Tcf) Athena prospect, for which the primary target (11 Bcm / 0.4 Tcf) has a 70% geological chance of success. Success at Athena would significantly de-risk the remaining recoverable resources in Block 12, estimated at a total 88 Bcm (3.1 Tcf) of gas, such that a development plan could be undertaken without recourse to further exploration drilling.

The first Karish North development well represents a further firm well.  The third, in addition to the Karish North development well and the Athena exploration well, will target prospective resources in the Karish Main block, including the potential oil rim identified as part of the KM-03 development well drilling.

Invictus Energy   l   Zimbabwe

In August 2020, Invictus Energy received approval of its application to renew their investment licence from the Zimbabwe Investment and Development Authority, covering the 80% owned and operated Cabora Bassa Project.

A comprehensive work programme has been proposed for the second three year exploration period, including a commitment to drill a minimum of one exploration well.

Mubadala   l   Egypt

In January 2021, Mubadala signed a Concession Agreement for Red Sea Block 4 in Egypt. The work commitment for the block is to conduct subsurface studies and to acquire 3D seismic during the initial three year term.

Pantheon Resources   l   Alaska

In September 2020, Pantheon's Alaskan subsidiary, Great Bear Pantheon, received notice from the Alaska Department of Natural Resources (DNR) that its application to form the Talitha Production Unit of 44,373 acres is complete and eligible for approval. The Talitha Production Unit includes a commitment to drill one well within 2 years or two wells within 4 years.

Pharos Energy   l   Vietnam

In August 2020, the Joint Operating Company's (JOC) request for an extension for the TGT field licence of two years, was formally granted by the Ministry of Industry and Trade in Vietnam. The licence now runs to 7 December 2026, as the first stage of the full five-year licence extension, and the Company remains confident in securing a licence extension of a further three years to 2029.

This accelerated two-year extension enables the JOC to make investments under the proposed TGT Full Field Development Plan (FFDP), and provides financial flexibility to potentially increase the tenor of the RBL, which currently has a term until 2023, by a further two years. The FFDP, due to commence drilling in Q4 2021, includes drilling six producer wells, has been approved by all Partners and is awaiting final approval from the Ministry of Industry and Trade.

RAK Petroleum   l   Co^te d’Ivoire

RAK Petroleum plc holds 33.33 percent of Foxtrot International LDC. Foxtrot International holds a 27.27 percent stake in and operates offshore Block CI-27, containing the country’s largest reserves of gas produced from four offshore fields tied back to two fixed platform

The CI-27 joint venture partnership will spend approximately USD 100 million on new onshore processing facilities and pipelines to supply gas to two new power stations in the country and embark on a drilling programme to drill three new wells in 2021/2022 estimated to cost USD 215 million.

Somoil   l   Angola

With a focus on doubling production in its blocks operated by the end of 2022, Somoil will more than double its investments in 2021. The company is undertaking a sustained capex program in its oil fields, which will have major upgrades for artificial elevation, drilling and workovers with the flexitube installation, as well as a series of greenfield projects.

In order to restart drilling in 2021, Somoil is introducing a platform in Q2 that will start by drilling infill (intermediate) wells and an exploration well.

Tethys Petrolem   l   Kazakhstan

Subject to Tethys securing financing, the company is planning to drill four wells in 2021 in the Kul-Bas field at distances of approximately 500-2000 meters away from KBD-02 (KBD-03, KBD-06, KBD-07, and KBD-08). The first well KBD-03 is scheduled to commence drilling in April if the loan or driller financing can be arranged. While KBD-03 is approved under the exploration license, the other three wells need approval from the MOE. These requests have been submitted.

On the Akkulka gas field Tethys is planning to drill up to 4 exploration gas wells, AKK-21, AKK-28, AKK-29, and AKK-30. The decision on whether or not to drill the later wells will be dependent upon the success of the earlier wells. On the Kyzyloi field Tethys is planning on drilling one gas development well, KYZ-121. All plans are subject to financing.

KeyFacts Energy: Planned Operational Activity