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Afren, partners to take final investment decision on Aje field soon

oil-field

Final investment decision is expected to be made by partners in Aje-2 located on oml offshore Lagos.

This development followed recent approval by the Nigerian Department of Petroleum Resources of  development of the Cenomanian oil reservoir with a first phase based on two subsea production wells tied back to a leased FPSO.

These wells, industry sources said, will probably comprise a re-completion of the existing Aje-4 well and a new well drilled close to the Aje-2 subsurface location.

According to Offshore magazine report, the partners are expected to make a final investment decision soon. First oil should flow in late 2015. Mid-case reserves are 32.4 MMbbl, and analysis of new 3D seismic across the OPL 310 and OML113 leases could lead to identification of further prospects.

Aje-2 tested the Turonian gas, which flowed at rates of 9.8mmcfd and the oil rim flowed at 3,866 bopd. The Upper Cenomanian section flowed oil at 3,743bopd. Both Aje-1 and Aje-2 were suspended as future production wells.

Aje-4 was spudded in February 2008. The well encountered gas/condensate and oil in a Turonian-age reservoir, oil bearing Cenomanian and gas bearing Albian intervals. Well logs confirmed a gross hydrocarbon column of around 328 ft, comprising gas and condensate overlying a 33 ft oil rim.

The column is thought to be in contact with the hydrocarbons found at the Aje-1 and Aje-2 wells, confirming the presence of reserves both north and east of Aje-1 and Aje-2. Aje-4 also confirmed the commerciality of the field.

First Hydrocarbon (FHN), which is a subsidiary of Afren  interest in OML 113, is subject to the Nigeria’s Sole Risk License fiscal terms.

In addition to this, FHN’s interest is also subject to inherited farm-in terms and cost recovery mechanism arrangement that are applicable specifically to OML 113 bloc.

Afren’s Ebok field, oil production has been averaging 29,300b/d. This spring the partners began drilling four additional North Fault Block wells from the West Fault Block (WFB) platform, comprising three producers and one dual-zone water injector. The program is expected to be completed this year.

Production will flow through the existing mobile offshore platform unit. The Central Fault Block (CFB) Extension platform is due to be installed soon followed by the start of development drilling, targeting additional reservoirs in the CFB. Three producers should be onstream by year-end.

In addition, Afren is expected to spud the Ebok deep exploration tail from the West Fault Block (WFB) platform in 4Q to test deeper Qua Iboe and Biafra targets below the producing reservoirs. The exploration tail will target resources of 50 MMbbl.

Among Afren’s other interests in the region is the shallow-water Okwok field, where reserves are estimated at 46.6 MMbbl. The development plan calls for installation of a dedicated production facility and wellhead platform with an export pipeline for stabilized crude oil tied back to, and sharing, the Ebok FSO, 13km (8 mi) to the west.

This year the partners are finalising detailed reservoir models and detailed development well planning/optimisation. The wellhead jacket has been fabricated and is in the Okwok field awaiting installation. This will be followed by the start of development drilling.

Once an ocean-bottom cable 3D seismic has been completed over the entire Ebok/Okwok/OML 115 area, Afren and partner Oriental will spud the Ameena East exploration well targeting resources of 65 MMbbl. They are pursuing additional leads via new seismic and advanced reprocessing projects.

Afren expects front-end engineering and design for the Okoro Further Field development to conclude soon and to secure project sanction. The wellhead platform will likely be installed during 2Q 2015 followed again by development drilling.