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Nice find Kingpin,
Seems conditions and contingencies might include new water protection RULES. Low flying aircraft over the villagers homes has to be accepted too. ERHC has to work with 19 district representatives!? Thats a tough job!
With ERHC's luck the aquifers would be directly above the best oil finds.
The leaders met on Tuesday with some of the oil exploration companies at Lokichoggio and elected community liaison members to hasten the implementation of the requirements.
Commercial oil deposits have been discovered in the semi-arid county.
The latest discovery is of two aquifers said to hold billions of cubic metres of water.
WATER POLLUTION
The leaders — who included Senator John Munyes, Governor Josephat Nanok, members of Parliament and their counterparts from the County Assembly — asked the government to guarantee security to investors.
They also called for improvement of infrastructure and allocation of adequate funds for general development of the county.
The discovery of oil deposits by Tullow Oil plc has attracted other companies to join the search for the precious resource.
Adamanging and Bowleven Oil and Gas from Britain is set to begin prospecting for oil and gas in Turkana North and Kibish districts.
At the same time, ERHC Energy will hunt for the commodity in Turkana West and Loima districts.
Energy ministry officials, led by Mr Felix Mutunguti and ERHC Energy director in Kenya Peter Thuo, attended the Lokichoggio meeting and promised to work closely with the local community during the oil exploration.
ERHC Energy is to prospect for oil deposits in block 11(A) and will lease with the 19 community liaison members led by its chairman Moses Ekwel during the exercise.
Mr Munyes proposed that the oil exploration companies give 50 per cent of employment opportunities to the local community and that all the EIA reports should be channelled through the governor’s office for scrutiny to avoid the possibility of water pollution.
Looks real real gloomy right?
http://www.circleoilandgas.com/kenya-block-11a/
Currently, the hottest spot in the world maybe? ERHC's timing and luck couldnt have been better imo.
Some where in the past I heard the fly by's need specific weather and conditions to be the best quality. Maybe thats part of the delay or they could just be very busy. Im sure there arent many planes with GEO equipment just sitting around in the desert.
Financial update.
Guys, THIS campaign IS right NEXT to the EEZ~!
This Multi-Well Campaign may border one of our EEZ blocks, if not, its very close.
Ophir Energy Secures Rig for West African Drilling Campaign
by Ophir Energy plc|Press Release|Monday, September 23, 2013
Ophir Energy plc (Ophir or the Company) announced Monday that it has secured a rig for its West African drilling campaign starting in 1Q 2014.
Rig Secured for West African 2014 Multi-Well Campaign
Ophir has agreed heads of terms for a deepwater drillship for its operated multi-well West African drilling program in 2014. A total of six firm plus additional contingent slots have been agreed. The program is scheduled to commence in Gabon in early February 2014 with drilling of the c.1.0 billion barrel pre-salt Padouck Deep prospect on the Ntsina Block. The second well is expected to target the Affanga Deep prospect on the Gnondo Block with the third well likely to be the pre-salt Okala prospect on the Mbeli Block. Further details of the later drilling sequence and rig details will be provided in due course.
Mapped:
http://www.energy-pedia.com/news/gabon/ophir-energy-farms-out-mbeli-and-ntsina-blocks-offshore-gabon-to-petrobras
Farrel nice,
but its just a animated dream in this decade. We should just focus on Kenya, get the best partnershipo and then farm out Chad too and then GET OUR MONEY BACK, HOPEFULLY! If they find oil, which is VERY likely IMO.
Seems many in Kenya are lining up to throw money into our African "neighborhood". Apparently ERHC has some pretty important shareholders over there to have these Kenya-Chad assets land in our lap. I 'll bet there are many many companies bidding for our holdings. That's the delay. The update 9 days ago clearly SAID NEGOTIATING... So bashers...let them negotiate and hope we just get our money back ... Ive been here for 13 years and am ready to leave.
Tullow Finds More Kenyan Oil with 4th Wildcat Well
exploration in Kenya aiming for 12 wells over the next 12 months."
by Rigzone Staff|Thursday, September 26, 2013
Africa-focused Tullow Oil reported Thursday that its Ekales-1 wildcat well, located in Block 13T in northern Kenya, has found oil.
Tullow said that results of drilling from the well, including wireline logs and samples of reservoir fluid, indicate a potential net oil pay in the Auwerwer and Upper Lokone sandstone reservoirs of between 197 and 322 feet. The firm added that future flow testing will aim to confirm productivity from these zones.
Tullow said that the find is the firm's fourth consecutive wildcat discovery in the first oil basin opened in northern Kenya since it began drilling there in 2012. The Ejales-1 well is located between the Ngamia-1 and Twiga South-1 oil discoveries, where reservoir properties appear to be similar.
The firm said that once operations have been completed the rig will move to drill the exploration prospect Amosing-1, which is locate south of Ngamia-1.
Tullow is the operator of Ekales-1, with Africa Oil owning a 50-percent interest.
Tullow Exploration Director Angus McCoss commented in a company statement:
"This success at the Ekales-1 wildcat is further evidence of the exceptional oil potential of our East African Rift Basin acreage. Having opened the first basin with the Ngamia-1 well last year, we are now increasing the pace of exploration in Kenya aiming for 12 wells over the next 12 months."
Elsewhere in Kenya, Tullow said its Agete-1 well commenced drilling in mid-Septembe
http://www.energy-pedia.com/news/kenya/new-151692
Super HOT spot guys... BowLeven is to fund an initial work programme of geophysical and 2D seismic, expected to cost around $10 million.
'The basins are to the north of the Lokichar Basin where a significant oil discovery has been made in recent months with the Ngamia-1 well,' BowLeven said on Monday. 'Analysis of the existing gravity and magnetics and seismic datasets suggest the basins in Block 11B are of similar form to Lokichar and analogous geological plays and petroleum system elements are expected.'
So is ERHC 11A N North West!!
http://www.eurasiareview.com/29092013-sa%CC%83o-tome-principe-end-oil-dream-analysis/
São Tomé And Príncipe: The End Of The Oil Dream? – Analysis
São Tomé and Príncipe
SÃO TOMÉ AND PRÍNCIPE
By IPRIS
September 29, 2013
By Gerhard Seibert
On 23 September 2013, the French oil company Total has abandoned Block 1 in the São Tomé and Príncipe – Nigeria Joint Development Zone (JDZ). This comes only about a year after the Chinese state-owned energy company Sinopec, its subsidiary Addax, Equator Exploration, and other stakeholders abandoned three oil blocks there. Total’s reasons are the same as those stated in 2012: disappointing results of exploration drillings due to hydrocarbon reserves that are too limited to justify further investment.
The decision has been a serious blow for the JDZ, set up in 2001 by Nigeria and São Tomé and Príncipe and shared by a 60/40 split between the two countries. In the worst case, Total’s exit might represent the end of São Tomé and Príncipe’s hopes of oil wealth, which began when the impoverished island state signed the first oil exploration agreement with a foreign company in 1997. Thereafter the country signed another two agreements with oil companies, but the three contracts were all renegotiated in 2003, because foreign oil experts deemed them harmful to the country’s national interests. In 2004 São Tomé passed an oil revenue management law that has been praised as exemplary by international legal specialists. In the same year, the country established a National Oil Agency (ANP) with a staff trained by foreign oil experts financed by the World Bank and Norwegian Agency for Development Aid (Norad) as part of the Norwegian Oil for Development Initiative. At the time, everybody expected the country’s oil production to start within a few years. Since 1999, São Tomé and Príncipe has had fourteen different oil ministers. However, the country has not yet produced any oil or gas and, consequently, the exemplary oil law has never been actually applied.
Total announced its withdrawal at a joint meeting of the stakeholders of Block 1 and the Abuja-based Joint Development Authority (JDA) at the company’s headquarters in Paris on 23 July. Since 2010, when the company took over Chevron’s 45.9% stake – the American company withdrew after its explorations turned up little oil – Total has been the operator of Block 1. During a December 2011 meeting in São Tomé, François Le Cocq, Total’s project director, announced that his company would invest US$ 200 million in the drilling of two wells in Block 1. This revived hopes that the block would produce the country’s first oil in 2015. At the same meeting, Olegário Tiny, then one of São Tomé’s two directors at the JDA, claimed that within three years oil production would certainly start since all indicators pointed to the existence of commercially viable oil in Block 1. In 2006 Chevron had drilled the exploration well Obo-1 in Block 1, at the time the first drillings in the entire JDZ. However, in the same year, the US company caused great disappointment and even disbelief in São Tomé when it revealed that no commercially viable hydrocarbons had been discovered.
In October 2003, during the first licensing round of oil blocks in the JDZ, Chevron offered a signature bonus of US$ 123 million for Block 1, the highest bid of all nine blocks in the auction. At the time, the JDA fixed the minimum bid per block at US$ 30 million. Bonuses totaling some US$ 500 million were offered for the seven blocks, while two blocks did not receive valid bids. The amount of money provoked a wave of enthusiasm, and great expectations of rapid oil wealth in São Tomé and Príncipe, a country almost completely dependent on foreign aid. However, the assignment only advanced at Block 1, where the consortium included Chevron (51%), ExxonMobil (40%) and Dangote Energy Equity Resources (DEER, 9%), a company owned by the Nigerian business tycoon Aliko Dangote. Elsewhere, due to doubts concerning the financial and technical capacity of bidders stymied the awards, leading to a second licensing round of auctions for five of the remaining JDZ blocks in late 2004. In May 2005, amidst accusations of irregularities, the five blocks were awarded to different consortiums.
Later in 2005, the Block 1 consortium began to change, when the London-based Afren secured an indirect working interest of 4.4% through a 49% equity interest in DEER. In 2007 Chevron assigned 5.1% of its share to South Africa’s Sasol. In the same year, the Geneva-based Addax acquired Exxon’s 40% working interest and subsequently another 2.4% from Sasol.
Despite the results of Chevron’s exploration drilling in Block 1, the takeover of the operatorship by Total in 2010 heightened expectations in São Tomé, since the block is located adjacent to OML 130 in Nigeria where the French company successfully extracts oil in the Akpo field. The French were expected to tie the expected discovery in Block 1 to the Akpo field development. Between March and July 2012, Total drilled the two exploration wells in Block 1, Obo-2 and Enitimi-1. Amidst the optimism created around Total’s drilling operation, the JDZ was hit by a new setback, when later that year Sinopec, its subsidiary Addax (since the takeover in 2009), Equator Exploration, and all other investors, with the exception of the Nigerian company ERHC, abandoned Blocks 2, 3 and 4, due to poor results of four exploration wells drilled in 2009 and 2010.
Sinopec and Addax had not participated in the licensing auctions, but acquired their interests in the three blocks from other stakeholders in 2005 and 2006. Due to its controversial preferential rights, awarded by the Sãotomean government in exchange for the company’s services rendered for the country’s oil development, the Houston-based ERHC claimed working interests in Block 2 (22%), Block 3 (10%), and Block 4 (19.5%). Blocks 5 and 6, the other two JDZ blocks awarded in 2005, have not been developed. Due to legal quarrels between ERHC and the Iranian consortium International Commerce and Communications (ICC) – Oil Exploration Consortium (OEC), 75% stakeholder and operator of JDZ Block 5, the production-sharing contract (PSC) for this block was only signed in February 2012. Formally São Tomé’s state-owned oil company Petrogás, took over ERHC’s working interests of 15% each in this block and in Block 6. Petrogás was officially created as early as May 2001, but exists only on paper; it has never had any management or staff, or conducted operations.
More than eight years after the announcement of the block awards, the PSC for Block 6 has not been signed. Since 2004, the JDA has not organized any other licensing round. Given the proven limited recoverable oil reserves in four blocks, and the consequent exit of several major oil companies, any new auction would be doomed to failure.
Anticipating Total’s recent decision, Sasol (2.7%) and Afren (4.4%) relinquished their interests in Block 1. Addax is likely to follow suit, leaving DEER as the only remaining stakeholder in the site. Consecutively, since 2007 four major oil companies have abandoned the JDZ due to unsatisfactory exploration drillings: Exxon, Chevron, Sinopec and Total. In view of this scenario it is highly unlikely that the JDA in Abuja will easily find new operators and other stakeholders with adequate financial and technical capacities available to invest in deep-sea oil exploration in four blocks with limited reserves. The Nigerian companies ERHC and DEER do not have such capacity. These realities notwithstanding, the JDA believes that it will be possible to find new investors to replace the companies, which abandoned the four blocks. The argument is that Total quits Block 1 since the quantity of discovered exploitable hydrocarbons would not correspond to the so-called global corporate portfolio size, a standard used by major oil companies. However, the JDA claims this would not impede independent medium-sized oil companies with adequate financial and technical capacities to invest in the acreage abandoned by Total.
Since JDA’s managers have to justify an annual budget of around US$ 12 million, a heavy burden for São Tomé and Príncipe, the JDA tries to downplay the impact of the withdrawal of the oil companies on the future of the JDZ. The highly indebted country counts on foreign donors to cover more than 90% of its US$ 150 million annual budget, and the government is on the hook for 40% of the JDA’s expensive operational costs. The debacle of the JDZ is a severe blow for São Tomé and Príncipe. The disappointing outcomes of the exploration drillings in the JDZ are likely to further diminish the already low interest in the country’s own Exclusive Economic Zone (EEZ). The first licensing round for seven blocks in the EEZ in 2010 was a complete flop. Only six third-tier oil companies submitted bids, while not a single major oil company did show up. Finally, in May 2011, one single exploration license was awarded to the Nigerian company Oranto Petroleum for EEZ Block 3. A PSC with Oranto including a signature bonus of US$ 2 million was signed in October of that year. Under preferential agreements, EEZ Blocks 4 and 11 were allocated to ERHC and Blocks 5 and 12 to Equator Exploration in 2010. Meanwhile, the ANP signed PSCs with the two companies for EEZ Blocks 4, 5, 11, but not yet for Block 12. Due to failure of the bidding round in late 2011, then Prime Minister Patrice Trovoada declared that a new licensing round of EEZ blocks would not be held until at least 2015, the year of the anticipated start of oil production in JDZ Block 1, which was expected to draw the attention of major oil companies to the EEZ. This hope has now been dashed.
The excitement and high hopes of rapid oil wealth in São Tomé and Príncipe, first sparked by the first licensing round for oil blocks in the JDZ ten years ago, has long faded away. However, despite the poor prospects, international organizations like the IMF and the African Development Bank have maintained optimistic economic growth forecasts for the impoverished twin-island republic, based largely on oil production forecasts for 2015. Based on the archipelago’s anticipated oil revenue, in October last year the US online business news site Business Insider even forecast São Tomé and Príncipe as the world’s fastest-growing economy over the five-year period from 2013 to 2017. In its last report for São Tomé and Príncipe of July 15, 2013 the IMF has predicted GDP growth to jump from 5.5% in 2014 to 38.7% in 2015. Yet, Total’s exit from the JDZ has exposed such optimistic economic growth forecasts as wishful thinking, if not sheer fantasy. The truth is that currently there is no guarantee that São Tomé and Príncipe will become an oil producer, at least not in the near future.
About the author:
Gerhard Seibert
Centre for International Studies (CEI), ISCTE-University Institute of Lisbon (ISCTE-IUL)
Source:
This article was published by IPRIS as IPRIS Viewpoints 134.
ERHC’s chief executive Peter Ntephe said negotiations are currently being held with the integrated company involved in exploration and refining as well as distribution and marketing of petroleum products.
Any agreement reached on sale and acquisition of a portion of exploration rights of acreage 11A near Lodwar town will be subject to approvals of the boards of the two firms and the Kenyan government.
Who is it? http://en.wikipedia.org/wiki/Sonangol_Group
Thanks Kingpindg, the article is very "revealing" as to why there still may be 14 billion barrels of oil in the JDZ. Operator just needs to learn how to get it up efficiently. This technology is the answer.
Red Hot Kenya
MARKET REPORT: Oil and gas explorer Ophir Energy shares up 4.3p to 324.3p on Chevron gossipBy Geoff Foster
PUBLISHED: 15:55 EST, 29 August 2013 | UPDATED: 15:55 EST, 29 August 2013
Growing gossip that Chevron is sniffing around Ophir Energy helped shares of the oil and gas explorer put on 4.3p to 324.3p.
Dealers heard whispers that the California-based multi-national energy corporation could be looking to take a significant stake or make a full-scale cash offer for the company whose African assets are said to be worth in the region of £10 a share.
Ophir plummeted 20 per cent during one disappointing session recently when the board admitted that it had not made any progress on a farm-out deal and that its drilling plans had been delayed. At the same time it reported an interim loss of £12.5m but said it had cash on the balance sheet of £313m following significant fundraising in the six-month period.
Undeterred, broker VSA Capital reiterated its buy recommendation and target price of 710p. It expects Tanzania to be at the forefront of liquefied natural gas developments in Africa, ahead of Mozambique and probably Equatorial Guinea.
Ophir needs to find billions of dollars from somewhere to build liquefied natural gas terminals to ship the gas to market. It therefore is desperate to farm out some of its Tanzanian and Kenyan interests or find a ‘friendly’ international major to swallow it lock, stock and barrel for a premium price.
With all the major energy companies hellbent on increasing their exposure in Africa, dealers believe there is every chance that should Chevron make a move for Ophir, Exxon could very well have something to say about it.
Read more: http://www.thisismoney.co.uk/money/markets/article-2405874/MARKET-REPORT-Ophir-Energy-shares-Chevron-gossip.html#ixzz2dQLj51th
WE should insist on a complete explanation of this 4 year old statement from ERHC board of directors.
"In 2009, one of our main activity is on BOMU-1 well in JDZ-2 Block, Nigeria, including drilling-geology designing, engineering designing, analysis-while-drilling and researching on post-drilling reserve appraisal. The well gains a commercial oil & gas flow. It was the first breakthrough in oil and gas exploration in SINOPEC’S oversea deep water drilling operation."
Clearly they said it was a commercial potential flow of OIL.
Peter chime in here please.
Well, Idk but seems like they werent well prepared for the real deep water world and are still trying to justify spending money on a project that was way over thier heads.
This is the closest thing to a technical report we have ever had! Too bad it didnt come from the company some of us have invested in for 12 years + "Remarkable Progress"?.
There was no mention of biogenic gas as farrell indicated unless shallow gas is biogenic or shallow hydrate. Bottom line there is something there. Will we ever get the goods or the truth? More drilling here? They were obviously instructed to play in safe and gather data and were scared to death with the "harsh marine operating environment, the underground situation is more complex compared with onshore drilling" Wow really, did they think it was Oklahoma?! 90 cents to 7 cents just because we had timid inexperienced operators imo.
Key West African deepwater drilling and completion techniques
2013-08-12 13:52 Published :2013 -08-12 13:52 Source: Petroleum Drilling Techniques Hits:
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BP?Shell?Petrobras?StateoilTransocean... Abstract: At present, the world attaches great importance to deepwater oil and gas exploration and development, to BP, Shell, Petrobras, Stateoil as represented by Transocean and other oil companies and service companies represented mastered the key technology of deepwater drilling and completion, dominates the deepwater oil and gas exploration and development ... ?,?BP?Shell?Petrobras?StateoilTransocean? Currently, the world attaches great importance to deepwater oil and gas exploration and development, to BP, Shell, Petrobras, Stateoil as represented by Transocean and other oil companies and service companies represented mastered the key technology of deepwater drilling and completion, dominates the deepwater oil and gas exploration development operations.
? In recent years, China's three major oil companies have conducted a deepwater drilling and completion technology research, also conducted a deepwater drilling attempts, but with foreign companies, there is a big gap, still in its infancy. ?2007 Since 2007, Sinopec around the country "going out" strategy, and actively participate in overseas offshore oil and gas exploration and development risks. 000 m3 500 m, Currently abroad reached 26 deepwater blocks, water depth were over 1 000 m, maximum depth 3 500 m, distributed in Angola, Brazil, Nigeria and Indonesia 4 countries. ? Among them, the identity of the operator in West Africa Nigeria - Sao Tome and Principe Joint Development Zone (JDZ Blocks) and other deepwater oil and gas exploration work carried out, through equity participation in Angola, Brazil, Indonesia and other deep waters to carry out a number of oil and gas exploration and development blocks jobs.
?? A West African JDZ Block Overview
JDZ,?150~200 km,30 000 m2,1 400~2 000 m,????1 600 m? JDZ block is located in the deepwater Gulf of Guinea, from the Nigerian coastline of about 150 ~ 200 km, covering more than 30 000 m2, depth of 1 400 ~ 2 000 m, an average depth of 1 600 m. ? Geological background in the Niger Delta basin, oil and gas resource-rich but more complex depositional and structural characteristics.
Akata?Agbada?Benin Niger Delta Basin Cenozoic strata from top to bottom can be divided into Akata, Agbada and Benin 3 groups. Benin,Agbada Benin Formation with massive non-marine sandstone, Agbada Formation in shallow marine and fluvial sand, silt and clay-based. Akata? Akata Formation is a marine deposits, mainly in the thick clay layer and turbidite sand (Sham potential reservoir rocks), siltstone (large set of shale lenticular sandstone) composition of the Niger Delta Basin, the main source rocks, which large set of lenticular sandstone shale good as closed, often containing high pressure gas and water.
? As harsh marine operating environment, the underground situation is more complex compared with onshore drilling, deepwater drilling technology and equipment requirements are higher there, below the mud line shallow fluid (shallow stream, shallow gas, shallow hydrate) hazards Large, narrow windows security density, low temperature drilling fluid and cement slurry rheological properties of large, well control requires higher technical problems, which led to risky deepwater drilling and the cost is extremely high, drilling day rate of 40 to 100 million U.S. dollars, or even higher. JDZ?? JDZ Block of exploration blocks, almost no reference has been drilling data, so the block operating environment, seabed topography, shallow potential geological hazards, formation pressure systems, the lack of information, while the lack of mature and practical conditions of the narrow density window the drilling, well control and other technology and deepwater drilling fluid under low temperature conditions, slurry and construction technology. This is a direct result of drilling design, equipment selection, well structure optimization, slurry and drilling fluid system optimization, process optimization and cost control drilling uncertainty drilling risky.
——Bomu-l? Sinopec deepwater drilling and completion programs in West Africa and key technologies based on the research, as operator, has successfully completed the first well in the block - Bomu-l well drilling design and construction of the well water depth 1 655 m, is BP as operator, completed our first port of deep wells, drilling in the history of our country has very important significance. ??Bomu-l?Oki-east-l? On Bomu-l wells conscientiously sum up and continue to improve deepwater drilling and completion on the basis of supporting technologies, Sinopec as operator of the block has completed four other saliva deeper than 1 600 m of deepwater oil and gas well design and construction, which Oki-east-l wells operate in water depths up to 2 092 m, and basically formed and mastered the key technology of the West African deepwater drilling and completion operations management system.
?? Second, key technology research deepwater drilling and completion
1? A shallow hazard identification and control technology
? Shallow hazards (including shallow gas and shallow water, etc.) identification and control is to ensure that the safety of deepwater drilling one of key technologies.
Shallow hazard identification most direct and effective way is to pre-drilling before drilling design drill collar wells located, but the method is time consuming and will greatly increase drilling costs. ? To this end, researchers have proposed geophysical techniques to identify high-precision evaluation of the application of shallow hazards approach. ? The core of the method is the use of multi-channel digital technologies such as seismic surveys and topographic surveys and shallow, medium and deep stratigraphic surveys combined utilization highlights identification method, physiognomy method, acoustic velocity spectrum identification method from seismic data identify shallow gas, using seismic reflection and inversion identification identification method to identify shallow water.
Shallow gas and shallow water flow control methods are mainly two kinds, one drilling Control Act, two wells is to shift method.? The former applies to shallow gas (shallow water) and not the amount of strata relatively stable, the core is the use of a suitable drilling fluid density, to ensure that neither the narrow density window formation pressure without drain overflow occurs while the borehole cause wellbore instability or loss of control, so a reasonable wellhead well control and submarine detection devices is essential. ? The latter is mainly applied to soft formations, diagenetic poor and shallow gas (shallow water) than the larger situation. West African deepwater geology and drilling practice shows that the method is to control the shallow gas (shallow water) the most effective way.
2? well structure optimization techniques
Jdz 1600 m,? JDZ Block operations deeper than 1600 m, formation pressure prediction has some uncertainty fracture pressure low density and safe narrow window. Considering these factors and the operating characteristics of a security priorities and reduce operating costs for the principles presented well structure optimization ideas: surface casing pipe and drill hole section with seawater, to take injection mode servant catheter surface casing using eyes open hole section robin fashion drilling and so on. Well structure optimization design method based mainly include catheters and catheter carrying capacity subsea wellhead down into the depth of the injection method for determining (see Figure 1), based on opening the eyes of the surface casing servant circulation drilling depth and hydraulic parameters determination method, the pressure is not determine the level and under conditions of deep casing and wellbore structure determination method and preferred method of risk evaluation (see Figure 2) and so on.
Figure 1 catheter down into the depth of the design process
Figure 2 pressure information under uncertainty casing design process
Bomu-l Using this method JDZ Block Bomu-l wells body structure has been designed to the wells drilled after the detection of the formation pressure data and the actual drilling of its well structure stratigraphy assessment analysis carried out and the results of the analysis The second well casing structure optimization design, this cycle, so well structure gradually optimized.
3? the preferred method of deepwater drilling equipment
: Deepwater drilling equipment preferred key technologies are:
1) According to the drilling requirements and operating environments, various types of deepwater drilling units operating water depth rated, rated drilling depth, variable load size, self-propelled ability to adapt to the operating environment and seabed conditions and other performance characteristics analysis, combined with pre-drilled area water depth and drilling depth, determine the economic working depth and economic drilling depth:
Where: LE for economic working depth, m; LW location for the planned drilling depth, m; Dp for drilling platforms, drilling depth economic, m; Dd design depth of oil and gas wells, m.
2 to LE, and Dp is the basis of the drilling apparatus to comply with requirements and market economic assessment evaluation, and considering the operating environment and other factors and a certain amount of redundancy operation, and ultimately determine the type of drilling equipment.
4? the catheter into the next injection technology
Down into the catheter injection technologies include catheters pillar design, injection design and hydraulic parameters WOB design. ?? Catheter design appropriate column and preferably reasonable hydraulic parameters and catheter injection servant WOB key technology.
? Catheter pillar design based on subsea wellhead - Catheter column - stratigraphic mechanical model, the mechanical stability of the subsea wellhead protection from the perspective of the catheter strength checking, designed to meet the flexural strength of the catheter column combinations.
Hydraulic parameter design design principles are:
1) below the mud line of shallow drilling using high pressure water jet spray, the use of small diameter nozzle or jet velocity increases displacement to increase in order to achieve a direct effect of the jet rock breaking;
2) In order to avoid water jet near the wall of the catheter is too disturbed soil, reducing catheter down into the bearing after the drilling process to control the water jet rock breaking reaming diameter smaller than the catheter, which can not exceed the jet rock breaking displacement of most Jia displacement;
3) In order to improve portability rock drilling results, as far as possible the use of large displacement, in order to improve drilling fluid annulus velocity, but the calculation to be based on the maximum displacement fracture pressure in order to avoid pressure leakage strata;
4) when you need to consider the preferred displacement BHA drill motor, MWD tools such as the maximum allowable emission limits, typically 75L / s; 5), preferably water hole size should be considered in co-ordination with the drill bit size.
WOB design design principles: WOB servant is greater than the catheter resistance, to ensure the smooth catheter into the formation, less than string bending instability occurs aspect largest WOB yield failure to prevent the occurrence of the column.
5? well control techniques Deep wells are mainly preferred control key deepwater blowout preventer system, kick early detection, prevention measures and improved kill gas hydrate formation.
JDZ According to the actual situation of JDZ Block, recommend technical solutions as well control:
1) without taking into account the high level of the block, deepwater blowout preventer system chosen standard configuration, while monitoring is recommended PWD annulus pressure and circulation equivalent density to prevent annulus pressure is greater than formation fracture pressure and pressure leak strata;
2) scientifically determine the killing to prevent displacement due to a longer choke manifold caused friction caused by high pressure leak underground formations such as the occurrence of failure;
3)easy to form the deep borehole gas hydrate is recommended driller France killing, that is, first overflow cycle of the wellbore, shortening overflow in residence time within the wellbore while drilling gas hydrate inhibitor is added in order to minimize the formation of gas hydrates in the wellbore possibilities.
6?deepwater drilling fluid technology
Deepwater drilling are facing technical problems caused by low temperature rheology control difficulties caused by gas sand gas hydrate formation, shale stability, hole cleaning difficulties riser segment carrying rocks and poor environmental requirements higher. The study and learn from foreign major drilling contractor technical achievements made in addition to the catheter and surface segments using sea drilling, other well sections are drilling using synthetic based drilling fluid system, because the synthetic drilling fluid has both oil-based drilling fluids excellent performance, but also a better solution to the oil-based drilling problem of environmental pollution. Synthetic-based drilling fluid system is mainly based on synthetic base fluid (synthetic or modified organic matter) as the continuous phase, brine is dispersed, with emulsifiers, organic soil and other components. Deep cryogenic conditions, through the adjustment of the base fluid and emulsifier dosage to control and optimize the drilling fluid rheology, depending on the well section and stratigraphic drilling fluid properties can be added to the need for fluid loss agents, rheology modifiers, hydrate inhibitors and barite adjust system performance.
7? deepwater cementing techniques
The main challenges facing deepwater cementing grout is strength development at low temperatures slow, shallow stream invasion channeling, security density and narrow windows, which require performance by optimizing the slurry system and cementing technology two aspects to solve. ? Deep-water slurry system should have low water loss, short transition, strength, rapid development, WOC short time, etc., to be based on geological data, survey research neighboring blocks, using the optimal particle size distribution theory of optimal slurry system.
West African deepwater slurry system used bentonite slurry system with non-permeable cement slurry, etc., bentonite slurry system consisting essentially of class G cement, bentonite, early strength agent, non-permeable cement slurry consisting essentially of, non-permeate gas channeling agents, retarders, drag reduction agent. Cementing process should take full account of the pressure balance within the borehole to prevent leakage of fluid channeling and pressure underground formations such failure, and thus to real-time monitoring drilling parameters, slurry rheology data, through software simulations to ensure that the cement pulp properties, cementing operation parameters satisfy the equilibrium pressure of the whole process of cementing requirements, while optimizing performance and the amount of pad fluid, improve the displacement efficiency and achieve concrete ring packer long term.
Third, field application and effect analysis
Since 2009, Sinopec to the identity of the job done in Nigeria JDZ Block 5 saliva deeper than 1 600 m of exploratory well, not only effectively promoting the JDZ Block deepwater oil and gas exploration and progress, and achieved a breakthrough in oil and gas exploration, as Sinopec increase reserves and production to make a certain contribution. ? In addition, the technology also successfully applied to Nigeria, Angola and other West African deep waters, resulting in huge economic and social benefits.
Bomu-l? Bomu-l Sinopec as well is the first operator to complete Estuary wildcats, operating depth of 1 655 m, design depth of 3 558 m, the actual drilled deep 3 580 m, the actual construction cycle 44.16 d, than the design construction cycle shorten 6. 27 d, save and invest more than 7.5 million U.S. dollars. The well is now an example to the application of the technology.
1, the choice of drilling equipment
Bomu-l?? Consider long-term rig contracts operator's job gap, through analysis and comparison and economic evaluation, the final selection of the company's Sedc0702 Transocean dynamic positioning semi-submersible drilling rigs Bomu-l wells. ? The drilling platform operating water depth 2 000 m, drilling depth 7 700 m, fully meet the Bomu-l wells drilling needs, and can complete the drilling of the first exploration period workload and direct hire equipment compared to other contractors can save 700 - 10 million dollars.
2? shallow hazard evaluation and control of the identification
? Shallow hazard to effectively identify, in Bomu 1 Ibara near wells dedicated to the acquisition and processing of seismic data interpretation, the results shown in Figure 3.
?3 JDZ-2 Figure 3 JDZ-2 seismic profiles (partial) and comparison of old and new wells
As can be seen from Figure 3, the original depth of wells 1 928 m (mud line 293 m) at a plurality of seismic section amplitude anomalies, analysis highlights where the airbag is displayed as in the form of high-pressure gas in the formation. ? To this end, the original design wells was changed to avoid shallow gas area, so as not to shallow gas drilling harm? In neighboring blocks certain wells drilled prior to failure due to more accurately identify shallow gas and risk assessment, the process of drilling the surface hole section drilled more serious and cause shallow gas blowout, resulting in drilling equipment by loss, formation collapse and eventually had to replace the re-drilled wells, the direct economic loss of nearly ten million U.S. dollars.
3 casing design
Combined with the actual geological conditions, design Bomu-l well casing structure: ø762.O mm duct jet down to below the mud line 83 m; ø660.4mm drill bit with the main purpose to Tl layer on top of layer 58 m, down ø508. O mm casing; using ø311.1 mm drill bit to T2 layer under the Ministry of drill completely main target; if ø311.1 mm drilled hole section can not be expected to horizon, then the well section reaming to ø444.5 mm, then the next ø339.7 mm casing, then ø311.1 mm drill bit to the design horizon, under ø244.5 mm casing; finally ø215.9 mm drill bit to the final design depth of 3 558 m drilled.
Bomu-l 580.O Bomu-l Well Drilling real body structure: ø762.O mm duct jet down to below the mud line ø108.6 m, with ø660.4 mm drill bit to the main target Tl layer on top 45.O m, with ø311. 1 mm drill bit to a depth of 3108.4 m, servant ø244.5 mm casing, then ø215.9 mm drill bit to a depth of 3 580.O m drilled. Visible, the design and implementation of the drilling hole structure body structure agrees well drilling process does not occur due to structural design of wellbore instability caused by an irrational wellhead and downhole failures. . 62 kg/L, In neighboring blocks of a well casing structure is not reasonable because, drilled to a depth of 4 489 m kick occurs, the job will be drilling fluid density to 1. 62 kg / L, resulting in a depth of 4 257 m and 4489 m occurs at more severe lost circulation, greatly increasing the cost of drilling.
4?the catheter injection into the next
Bomu-l?? Bomu-l wells using a combination of the catheter column in Table 1.
?1 Bomu-1?????? Table 1 Bomu-1 well composed catheter column
762.0 .3~25.4 mm,??6.25 L/68. 75 L/s? ø762.0 mm catheter column uses ø660.4 mm drill down into the jet, water hole size is 14.3 ~ 25.4 mm, first with 6.25 L / s, small-displacement drilling, and then slowly increased to 68. 75 L / s. ??? Through underwater robot (ROV) was observed to ensure cuttings ø762.O mm catheter back out, back out of the catheter, has no debris. ? WOB gradually increased from O to 454 kN, primarily through the drill pipe string below the mud line to control its own gravity WOB kept above the mud and drill pipe conduit is vertically stretched state, that is to maintain neutral point below the mud line . Site construction process, recommended WOB WOB is consistent with the actual construction process without duct bend, servant blocked, fluid outside back, wellhead instability and other downhole failures.
5? 5, fluid technology
Bomu-l? Bomu-l wells ø762.O mm and ø660.4 mm hole section using sea water and sea water / cleaning fluid viscous drilling, are directly discharged to the sea floor; due ø311.1 mm and ø215.9 mm hole section mudstone Yasumizu of expansion, causing collapse, tripping, etc. Difficult downhole failures, so the use of oil-water ratio of 76:24 of synthetic-based drilling fluid system. Bomu-l? Bomu-l wells drilling indicates that the system has good lubricity and inhibition, low and high temperature to maintain good rheological properties of drilling well, well diameter rules can satisfy the geologic and engineering requirements.
6, deepwater cementing
Bomu-l? Ø508.O mm Bomu-l well casing cementing method using internal pipe cementing collar pulp density of 1. 44 kg / L, an additional amount of 150% of the volume of the naked eye, the tail rotor density of 1.90 kg / L, additional amounts of to 50% of the volume of the naked eye, and brought back to the seafloor mud slurry line, tail rotor back to the shoe over 152.4 m, so that can ensure that the water mud returns to the sea, but also to ensure that the cementing casing shoe quality assurance follow-up work carried out smoothly. ø339.O ø339.O mm casing cementing plug cementing the underwater release. ø244.5 .5 mm casing cementing collar pulp density of 1.50 kg / L, an additional amount of 50% of the volume of the naked eye, the tail rotor density of 1. 90 kg / L, an additional amount of 50% of the volume of the naked eye, and brought back to the slurry T1 layer on top of 152.4 m (depth 2 279.9 m or so), the tail rotor back to the shoe above the 152.4 m, cementing touch pressure is 4 MPa, water, mud returns to a predetermined depth.
Conclusion:
Depending on the West African deepwater exploration and development needs of deepwater drilling and completion techniques to carry out research studies, initially forming a shallow hazard identification and control, structural optimization wellbore, deepwater drilling equipment preferred catheter injection into the next, deep wells control , deepwater drilling and deepwater cementing key technologies such as drilling and completion, and successfully applied to Nigeria, Angola and other West African deep waters, effectively promoting the overseas oil and gas exploration and development in the petrochemical project progress, resulting in a good economic and social benefits.
China Sinopec JDZ Block as an operator has successfully completed five deepwater well construction, where the operating water depth of 1 655m Bomu-l of oil wells is completed as the first port operator deep wells, oil drilling in our country history of great significance.
? This not only enhances the China Petrochemical deepwater oil and gas exploration and development to further increase the confidence of investors, but also for Chinese enterprises to participate in domestic and international deepwater oil and gas exploration and development has played an exemplary role in promoting.
deepwater drilling in China is still in its infancy, has formed the drilling and completion techniques need to be further improved and increased application of force.
Recommended depth deepwater drilling and completion key technology research, in particular to carry out the theory and key technology of deepwater completions, drilling and completion equipment and tools, research studies and standardization of the prior art to form a supporting deepwater drilling and completion techniques, and further reduce operating costs, so that our deepwater drilling and completion technology standards to meet and exceed the international advanced level, to promote deepwater fast, economical and effective exploration and development.
Lu Bao Ping / China Petrochemical Petroleum Engineering Technology Research Institute)
China Sinopec International Petroleum Exploration and Development Corporation
That trillion should be be enough for ERHC. Are we halted I dont see any trades?
Nigeria risks losing $185 billion within 10 years as higher taxes proposed by a new law will deter investment in the country’s oil industry, an association of energy companies including Exxon Mobil Corp. (XOM) said.
Nigerian oil production may slump by 25 percent from 2.4 million barrels a day if the Petroleum Industry Bill, or PIB, is implemented, Mark Ward, managing director of Exxon Mobil Corp.’s Nigerian unit, said in Lagos today. The loss of investment caused by the law would leave it insufficient to tackle decline rates at oilfields, said Ward, representing the Oil Producers Trade Section at a conference in the commercial capital.
“The terms proposed increase royalties, increase taxes and lower allowances or incentives all at the same time,” said Ward. Energy companies are “deeply concerned” as the new tax proposals will “create one of the world’s harshest fiscal regimes.”
The new law is aimed at reforming the way Nigeria’s oil and gas industry is regulated and funded, and seeks to increase the government’s share of profit from oil pumped to at least 73 percent, from 61 percent currently, according to Petroleum Minister Diezani Alison-Madueke.
Uneconomical Exploration
The Oil Producers Trade Section, or OPTS, includes Royal Dutch Shell Plc (RDSA), Chevron Corp. (CVX), Exxon Mobil, Total SA (FP) and Eni SpA. (ENI) The companies pump about 90 percent of Nigeria’s oil through ventures with state-owned Nigerian National Petroleum Corp.
Proposed increased taxes in the legislation would make exploration “uneconomical,” they said in a joint presentation to lawmakers last month.
The PIB may boost the government’s share of oil profits to as much as 96 percent, Ward said. For gas projects, the PIB will increase the tax rate to 80 percent from 30 percent, “significantly reducing incentives for investments.”
Under the bill, rentals and penalties would be set by the petroleum minister, while the country’s president would be able to award licenses without competitive bidding. Companies remain concerned that there’s no guarantee of the sanctity of existing contracts, or of independent arbitration when disputes arise, Ward said.
Africa’s most populous nation, with more than 160 million people, relies on oil for as much as 95 percent of export earnings and 80 percent of government revenue. The West African nation produced 1.92 million barrels a day of oil in July, according to data compiled by Bloomberg.
http://fuelfix.com/blog/2013/08/23/nigeria-risks-185-billion-loss-from-new-law-oil-companies-say/
Investors are increasingly anxious to see if exploration in subsea geographies known as pre-salt can translate into more big oil discoveries that would make the cost-intensive terrain worth the effort.
Houston-based firms Marathon Oil and Cobalt International Energy announced a deep-water natural gas find Monday in a pre-salt play off the coast of West Africa.
But shares of both companies fell on the news, as investors were hoping for black gold, in big numbers, because of the premium oil brings.
“Instead, they got gas, and not so much of it either,” said Oppenheimer & Co. analyst Fadel Gheit.
Sell-off: Marathon Oil sells offshore Angola stake for $1.5 billion
Cobalt also failed to hit pay dirt in a deep-water field in the Gulf of Mexico.
The well operator for the West Africa discovery, French oil and gas firm Total, doesn’t break down the amount it has spent on this specific operation off the coast of Gabon, but last year its capital expenses for all of its Gabon operations was $922 million, 22 percent more than a year earlier, while crude oil production from fields operated by Total’s Gabon operations fell 2 percent year-over-year.
Marathon holds a 21.25 percent stake in the license associated with the Gabon well, known as Diaman-1B, where the new natural gas discovery was made. Total is the operator and has a 42.5 percent stake. Cobalt International Energy has a 21.25 percent stake and the Gabonese Republic has a 15 percent stake.
The well hit 160-180 net feet of pay, which refers to the vertical thickness of rock that is estimated to contain hydrocarbons, and be capable of contributing to production. The well, in 5,673 feet of water, was drilled to a total depth of 18,323 feet.
South Texas: Marathon Oil pumping 80,000 Eagle Ford barrels per day
The well will be temporarily abandoned pending further analysis of the well data, Marathon said.
Diaman-1B is more than 60 miles from any other commercial pre-salt discovery, the companies said.
Pre-salt refers to oil- or gas-bearing rock that has a salt composition and is located beneath another layer of salt that is often thick.
Pre-salt fields are common off the coasts of Africa and Brazil. The fields can be expensive places to explore and produce oil and gas, but they can also hold a lot of potential for firms to expand their reserves. Advanced seismic imaging and other technology is used to locate and extract the resources.
http://fuelfix.com/blog/2013/08/19/marathon-cobalt-announce-west-africa-natural-gas-discovery/
Good post SSC thanks.
Who cares about the short sellers, there isnt anything you can do except buy on the dips. Why do continue to bring up shorting... OT subject... it just doesnt matter.
The focus should be on getting off the OTCBB. Now if that move was iminent then yes we could buy buy and run off the shorters..or at least cost them some $. Were a long way from that worry today. imo
ERHC Energy Inc. : Updates Shareholders on Progress
08/13/2013 | 06:48pm US/EasternRecommend: 0 Houston, August 13, 2013 - ERHC Energy Inc. (OTCBB: ERHE), a publicly traded American company with oil and gas assets in Sub-Saharan Africa, today updated shareholders on the Company's progress.
ERHC Shareholders:
ERHC is pleased to present highlights of the Company's recent progress. Greater detail is available in the Company's quarterly 10-Q filing, which can be read at http://erhc.com/secfilings/.
São Tomé and Príncipe Exclusive Economic Zone (EEZ)
•ERHC has concluded negotiations with the National Petroleum Agency (ANP-STP) on the EEZ Block 4 and 11 Production Sharing Contracts (PSCs).
•Translations, final legal review and certain approvals will precede signature.
Republic of Kenya Block 11A
•Negotiations continue with an international operator interested in farming into the Block following a Letter of Intent entered into in May 2013.
•ERHC awarded a contract to Bell Geospace to acquire an airborne Full Tensor Gravity Gradiometry (FTG) survey of the Block.
•ERHC conducted community outreach with government and local leaders to precede of the Company's exploration program.
Republic of Chad
•ERHC has contracted ASAT (Archeologie et Socio-Antropologie au Tchad), an environmental consultancy with Chad expertise and experience, to conduct a comprehensive Environmental Impact Assessment (EIA) in accordance with the PSC.
•ERHC has applied to the Chadian Ministry of Energy to harmonize ERHC's acreage with current determinations of prospectivity.
Nigeria - São Tomé and Príncipe Joint Development Zone (JDZ)
•ERHC and other contracting parties continue negotiations with the Joint Development Authority on how to progress with JDZ Blocks 2, 3 and 4.
Fundraising
•ERHC is pursuing ongoing discussions with investment banks and brokers regarding potential new investments and financing facilities.
If you have questions, please reference the Company's quarterly 10-Q filing, which is available at http://erhc.com/secfilings/ or contact Daniel Keeney, ERHC's investor relations representative, at dan@dpkpr.com.
Im tired of reading about shorts, please enough of this. Move on.
Ok.... cheaper, joint survey had been mooted (debated) but failed to gain traction.
Joint survey was attempted with who?
WOW!! Red this is amazing luck (see map link) and news for the ERHC Chad prospect. You guys realize this area mentioned is contiguous with ERHC property! This should give our sp a big boost! Hot Hot area!!
http://www.caracalenergy.com/i/maps/Griffith's-asset-map-from-presentation.pdf
Addax enlists DeltaAfrik for engineering support offshore West Africa
SYDNEY, Australia – Addax Petroleum has contracted WorleyParsons’ Nigerian joint venture company DeltaAfrik Engineering to provide engineering and project services for its capital projects and operating assets in West Africa.
Facilities to be supported include deepwater, shallow-water, and onshore developments for producing and planned new developments offshore Nigeria, Cameroon, and Gabon.
Work will be conducted from DeltaAfrik offices in Lagos, and WorleyParsons offices in London, Houston, and Beijing.
http://www.google.com/url?sa=X&q=http://www.offshore-mag.com/articles/2013/07/addax-enlists-deltaafrik-for-engineering-support-offshore-west-africa.html&ct=ga&cad=CAEQARgAIAAoATAAOABAs-qAjwVIAVgBYgVlbi1VUw&cd=8DGWc8cuEeY&usg=AFQjCNFbuTngEcmyhBAkTc8b83EFNQA6aQ
FLY OVER MAGNETIC SURVEYING, ELECTRO SEIS AND OTHER TECHNIQUES ARE ARE COMMON, ITS A GREAT TOOL IN MANY PLACES, IT SPEEDS UP DECISION MAKING, ITS FAST AND INEXPENSIVE AND COVERS A LOT OF TERRITORY -BUT MOSTLY ITS JUST ANOTHER TOOLS TO SUPPORT EXACTLY WHERE TO ULTIMATELY DROP THE DRILL BIT. COMBINED KNOWLEDGE,EXPERIENCE AND 2D WITH IT AND THEN YOU HAVE YOUR DATA TO MAKE A DECISION.
http://www.nasdaq.com/press-release/erhc-energy-contracts-bell-geospace-for-airborne-gravity-gradiometry-ftg-survey-of-kenya-block-11a-20130710-00859
SAO TOME AND PRINCIPE - Fernando Manquengo
Africa Intelligence (subscription)-Jul 2, 2013
Only four of the 11 blocks put on sale in 2011 were acquired by juniors such as Equator Exploration and ERHC (which is also active in Chad and in the Joint ...
That would be Cabrito amigo.
ERHC needs news like this.
Sinopec Discovers Huge Well in Brazil
Sinopec Group, the parent of Sinopec Corp (NYSE: SNP, SHA: 600028, HKG: 0386), said its subsidiary in Brazil has found an oil and gas well in the South American country that has the potential to produce 5,000 barrels of crude oil and 810,000m3 of natural gas per day.
Thanks, I didnt remember that.
"They now face more scrutiny and while there are still plenty of new Chinese-backed projects in the pipeline, a number of contracts around Africa have been cancelled or put on hold."
Other companies operating in Gabon including France’s Total and Perenco were also subject to audits, according to the US state department report.
In February, Gabon was struck off a list of countries that comply with global standards for the resources sector set by the Extractive Industries Transparency Initiative (EITI) after it failed to submit a report. "Gabon reaffirms its determination to work for continued improvement of good governance in the management of its raw materials, and its openness to work with any partner who is able to help in the process," Oil Minister Etienne Ngoubou said at the time. Only Equatorial Guinea and Sao Tome have previously been delisted from the EITI.
http://www.bdlive.co.za/africa/africanbusiness/2013/06/05/china-oil-firm-wears-out-its-welcome
http://oilandgas360.com/erhc-energy-inc-signs-letter-of-intent-to-farm-out-a-portion-of-its-interest-in-kenya-exploration-block/
EEZ must be part of something brewing as they indicated they were close to finalizing EEZ in February.. ?